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HomeMy WebLinkAboutFS 2013-11-19 COMPLETE AGENDA PACKETCity of Tukwila Finance and Safety Committee O Dennis Robertson, Chair O Verna Seal O De'Sean Quinn AGENDA Distribution: D. Robertson V. Seal D. Quinn K. Hougardy Mayor Haggerton D. Cline P. McCarthy C. O'Flaherty S. Kerslake K. Mate] L. Humphrey K. Kertzman M. Miotke R. Still S. Brown J. Trantina TUESDAY, NOVEMBER 19, 2013 — 5:30 PM CONFERENCE ROOM #3 (at east entrance of City Hall) Item Recommended Action Page 1. PRESENTATION(S) 2. BUSINESS AGENDA a. A contract for Seattle Express shuttle services. a. Forward to 12/2 Consent Pg.1 Katherine Kertzman, Tourism Program Manager Agenda. b. A renewal agreement for Microsoft Enterprise software. b. Forward to 12/2 Consent Pg9 Mary Miotke, IT Director Agenda. c. A marketing plan for Foster Golf Links. c. Information only. Pg.31 Rick Still, Parks & Recreation Director d. A resolution relating to non - represented employees' d. Forward to 11/25 C.O.W. Pg.53 wages and benefits for 2014. and 12/2 Regular Mtg. Stephanie Brown, Human Resources Director e. An amendment to the contract with BERK and e. Forward to 12/2 Consent Pg.71 Associates. Agenda. Joyce Trantina, Project Analyst, Mayor's Office f. An amendment to the lease agreement with Alliance One f. Forward to 12/2 Consent Pg.83 Receivables. Agenda. Joyce Trantina, Project Analyst, Mayor's Office g. Discussion regarding the Council review and approval process for vouchers. g. Information only. Pg.91 Peggy McCarthy, Finance Director 3. ANNOUNCEMENTS 4. MISCELLANEOUS Next Scheduled Meeting: Tuesday, December 3 ', 2013 The City of Tukwila strives to accommodate those with disabilities. Please contact the City Clerk's Office at 206 - 433 -1800 (TukwilaCityClerk @TukwilaWA.gov) for assistance. City of Tukwila TO: Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton FINANCE AND SAFETY COMMITTEE FROM: Katherine Kertzman TOURISM PROGRAM MANAGER DATE: October 16, 2013 SUBJECT: SEATTLE EXPRESS SHUTTLE SERVICES CONTRACT ISSUE The Council is being asked to authorize the Mayor to sign a shuttle services contract with Miller Schmer Inc. doing business as "Seattle Express" on behalf of Seattle Southside Visitor Services (SSVS). BACKGROUND For over 12 years SSVS has hired Seattle Express to provide regularly scheduled shuttle services from hotels in the City of SeaTac to Westfield Southcenter, seven days a week (excluding some major holidays). Currently the City of SeaTac contributes 100% of the shuttle costs as a part of the annually approved tourism marketing initiatives SSVS provides to the City of SeaTac. The City of SeaTac's Hotel Motel Advisory Committee members support funding the complimentary shuttle service for their guests because it conveys added value to selling their properties to potential overnight guests and groups; the City of Tukwila incurs no cost but receives the sales tax from shoppers. Seattle Express delivered more than 28,000 riders/shoppers to Westfield Southcenter in 2012 resulting in $4,311,900 in estimated visitor spending at Westfield. The shuttle is wrapped in Seattle Southside branded advertising. As administrator of Seattle Southside, Tukwila contracts with the shuttle, pays them, and is reimbursed 100% for expenses from the SeaTac lodging tax fund. Currently, the cost is $10,000 per month. Seattle Express has an Auto Transportation Certificate 01052 issued by the Washington Utilities and Transportation Commission (WUTC) that gives Seattle Express the sole right to provide a scheduled shuttle service, at a set rate, on a set route for hotel guests (in our cities) and no other company can provide this shuttle service in our area which is defined as SeaTac and Tukwila. Therefore a competitive bid process is not feasible for this contract. ANALYSIS The SeaTac Hotel Motel Advisory Committee reviewed the 2013-2014 Seattle Express shuttle service marketing initiatives on August 8, 2012 and approved. The Tukwila Lodging Tax Advisory Committee reviewed the 2013-2014 Seattle Express shuttle service marketing initiative at the December 5, 2012 meeting and approved in the 2013-2014 Seattle Southside Marketing Initiatives. Budget impacts: There is no additional budget request for this item because the cost for this work through 2014 was included within the Council approved 2013-2014 Budget. Services will be paid out of the "Sea Tac Only" account that is funded 100% by the City of SeaTac. However, because the proposal amount is over $40,000, it requires Council approval. Since this is a tourism program item, the costs will be paid out of lodging taxes, not the City's general fund. 1 INFORMATIONAL MEMO Page 2 RECOMMENDATION The Council is being asked to authorize the Mayor to sign a service contract in an amount not to exceed $120,000 on behalf of Seattle Southside Visitor Service with Miller Schmer Inc. doing business as Seattle Express. The Finance and Safety Committee is being asked to forward this item to the December 2, 2013 Regular Meeting Consent agenda. ATTACHMENTS Proposed contract 2 C:1 Usersl melissa- h1AppDatalLocallMicrosoft \Windows \Temporary Internet Files \Content.OutlooklIIRWBE3Y1Memo to Fin Safety Seattle Express 2014 contract.docx City of Tukwila 6200 Southcenter Boulevard, Tukwila WA 98188 Contract Number: CONTRACT FOR SERVICES This Agreement is entered into by and between the City of Tukwila, Washington, a non - charter optional municipal code city hereinafter referred to as "the City," and Seattle Express, hereinafter referred to as "the Contractor," whose principal office is located at 8028 180th St. SE, Snohomish, WA 98296. WHEREAS, the City has determined the need to have certain services performed for its citizens but does not have the manpower or expertise to perform such services; and WHEREAS, the City desires to have the Contractor perform such services pursuant to certain terms and conditions; now, therefore, IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1. Scope and Schedule of Services to be Performed by Contractor. The Contractor shall perform those services described on Exhibit A attached hereto and incorporated herein by this reference as if fully set forth. In performing such services, the Contractor shall at all times comply with all Federal, State, and local statutes, rules and ordinances applicable to the performance of such services and the handling of any funds used in connection therewith. The Contractor shall request and obtain prior written approval from the City if the scope or schedule is to be modified in any way. 2. Compensation and Method of Payment. The City shall pay the Contractor for services rendered according to the rate and method set forth on Exhibit B attached hereto and incorporated herein by this reference. The total amount to be paid shall not exceed $120,000 at a rate of $10,000 per month. 3. Contractor Budget. The Contractor shall apply the funds received under this Agreement within the maximum limits set forth in this Agreement. The Contractor shall request prior approval from the City whenever the Contractor desires to amend its budget in any way. 4. Duration of Agreement. This Agreement shall be in full force and effect for a period commencing January 1, 2014, and ending December 31, 2014, unless sooner terminated under the provisions hereinafter specified. 5. Independent Contractor. Contractor and City agree that Contractor is an independent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither Contractor nor any employee of Contractor shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the Contractor, or any employee of the Contractor. CA Revised 1 -2013 Page 1 of 6 3 6. Indemnification. The Contractor shall defend, indemnify and hold the City, its officers, agents, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or in connection with the performance of this Agreement, except for injuries and damages caused by the sole negligence of the City. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Contractor and the City, its officers, officials, employees, and volunteers, the Contractor's liability hereunder shall be only to the extent of the Contractor's negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Contractor's waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 7. Insurance. The Contractor shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, their agents, representatives, employees or subcontractors. Contractor's maintenance of insurance, its scope of coverage and limits as required herein shall not be construed to limit the liability of the Contractor to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. A. Minimum Scope of Insurance. Contractor shall obtain insurance of the types and with the limits described below: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $5,000,000 per accident. Automobile liability insurance shall cover all owned, non - owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance with limits no less than $5,000,000 each occurrence, $5,000,000 general aggregate and $5,000,000 products- completed operations aggregate limit. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products - completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide the Aggregate Per Project Endorsement ISO form CG 25 03 11 85 or an equivalent endorsement. There shall be no endorsement or modification of the Commercial General Liability Insurance for liability arising from explosion, collapse or underground property damage. The City shall be named as an insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured- Completed Operations endorsement CG 20 37 10 01 or substitute endorsements providing equivalent coverage. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. CA Revised 1 -2013 Page 2 of 6 4 B. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respect to the City. Any insurance, self - insurance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. C. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VII. D. Verification of Coverage. Contractor shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. E. Subcontractors. The Contractor shall have sole responsibility for determining the insurance coverage and limits required, if any, to be obtained by subcontractors, which determination shall be made in accordance with reasonable and prudent business practices. F. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this work with written notice of any policy cancellation, within two business days of their receipt of such notice. G. Failure to Maintain Insurance. Failure on the part of the Contractor to maintain the insurance as required shall constitute a material breach of contract, upon which the City may, after giving five business days notice to the Contractor to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand, or at the sole discretion of the City, offset against funds due the Contractor from the City. 8. Record Keeping and Reporting. A. The Contractor shall maintain accounts and records, including personnel, property, financial and programmatic records which sufficiently and properly reflect all direct and indirect costs of any nature expended and services performed in the performance of this Agreement and other such records as may be deemed necessary by the City to ensure the performance of this Agreement. B. These records shall be maintained for a period of seven (7) years after termination hereof unless permission to destroy them is granted by the office of the archivist in accordance with RCW Chapter 40.14 and by the City. 9. Audits and Inspections. The records and documents with respect to all matters covered by this Agreement shall be subject at all times to inspection, review or audit by law during the performance of this Agreement. 10. Termination. This Agreement may be terminated by the City at any time and for any reason by the City giving to the Contractor thirty (30) days written notice of the City's intention to terminate the same. If the Contractor's insurance coverage is canceled for any reason, the City shall have the right to terminate this Agreement immediately. 11. Discrimination Prohibited. The Contractor shall not discriminate against any employee, applicant for employment, or any person seeking the services of the Contractor to be provided under this Agreement on the basis of race, color, religion, creed, sex, age, national origin, marital status or presence of any sensory, mental or physical handicap. CA Revised 1 -2013 Page 3 of 6 5 12. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of the services contemplated by this Agreement without the written consent of the City. 13. Entire Agreement; Modification. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Contractor and supersedes all prior negotiations, representations, or agreements written or oral. No amendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. 14. Severability and Survival. If any term, condition or provision of this Agreement is declared void or unenforceable or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement, which by their sense and context are reasonably intended to survive the completion, expiration or cancellation of this Agreement, shall survive termination of this Agreement. 15. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk, City of Tukwila 6200 Southcenter Blvd. Tukwila, Washington 98188 Seattle Southside Visitor Services 3100 South 176th St. Seattle, WA 98188 Notices to the Contractor shall be sent to the address provided by the Contractor upon the signature line below. 16. Applicable Law; Venue; Attorney's Fees. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorney's fees and costs of suit. DATED this day of , 20 CITY OF TUKWILA CONTRACTOR By: Mayor, Jim Haggerton ATTEST/AUTHENTICATED: City Clerk, Christy O'Flaherty APPROVED AS TO FORM: Office of the City Attorney Printed Name and Title: Address: CA Revised 1 -2013 Page 4 of 6 6 Exhibit A Scope of Services 1. Provide a complimentary regularly scheduled round trip shuttle service for SeaTac hotel guests to the Westfield Southcenter. 2. The route schedule will be published online and in printed format to be distributed to all SeaTac hotels, SSVS and Westfield Southcenter. 3. Seattle Express will not make changes to the published schedule without prior written approval from SSVS staff 4. Seattle Express will be responsible for all maintenance and upkeep of shuttle fleet and any associated fees. 5. Permit SSVS to wrap the shuttle van(s) used for Westfield Shuttle service in Seattle Southside branded advertising at SSVS's expense. 6. Shuttle service will operate seven days a week, excluding certain holidays. 7. Include Seattle Southside webpage link on Seattle Express website. 8. Promote the Seattle Southside visitor center by providing shuttle riders with SSVS Visitor Guide and Map and encouraging them to utilize other visitor center services. 9. Shuttle drivers will act as tourism ambassador for the Seattle Southside area. 10. With each monthly invoice, provide a ridership total report for the month being billed. CA Revised 1 -2013 Page 5 of 6 7 Exhibit B Compensation Contractor shall submit invoices to the City within fourteen days of the end of each month. Invoices shall be mailed to: Seattle Southside Visitor Services 3100 South 176 Street Seattle, WA 98188 The total amount to be paid under this contract shall not exceed $120,000 and will be paid at a fixed rate of $10,000 per month. CA Revised 1 -2013 Page 6 of 6 8 TO: City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton Finance & Safety Committee FROM: Mary Miotke, IT Director DATE: 11/19/13 SUBJECT: Microsoft Enterprise Agreement Renewal ISSUE It is time to renew the City's existing Microsoft Enterprise Agreement, originally signed in 2010 as a three-year agreement. BACKGROUND The Council authorized the Mayor to sign our first Enterprise Agreement (EA) with Microsoft in 2010, which allowed the licensing and version standardization of Microsoft products on all City computers. The original purchase was funded by the emergency preparation Limited Tax General Obligation Bond issued on July 19, 2010 and was substantially lower than purchasing individual open licensing for 100% of the City's PCs and laptops. DISCUSSION It has been a great benefit for the City to have all installations of Microsoft Office standardized, allowing for better collaboration and increased efficiency when collaborating on important documents internally between staff and externally with contractors and business contacts. The City was also able to implement Microsoft Exchange for our email system with this agreement. The original three-year licensing phase is now complete and this renewal will allow the EA to continue for the next three-years at a reduced rate for software assurance and support the City's Strategic Plan goal of a high performing and effective organization. We will be able to continue installing the latest versions of Microsoft software and operating systems as they become available, and the extended benefits of online training for all users, technical training for IT staff, a home-use program for all licensed users, and other beneficial items listed in Attachment C will also be renewed. FINANCIAL IMPACT The original EA agreement totaled $103,378 for each of the three years for full licensing of the software that the City currently uses and depends upon to conduct City business. After adding several network components to support other system/vendor upgrade requirements and deleting a few items that are no longer needed, renewal for software assurance will be $78,259 plus tax. The total is $85,693.64, which is only nominally over the approved 2013-14 budgeted amount of $85,000. The slight overage is easily absorbed within the IT budget and no additional funding is required. The good news is that this renewal will save the City $17,684.36 per year on software licensing, or $53,053.08 for the three year term. RECOMMENDATION Council is being asked to forward this agreement renewal to the Consent Agenda of the December 2, 2013 Regular Meeting to approve the Mayor to sign for a three-year Microsoft Enterprise Agreement in the amount of $85,693.64 per year including tax. ATTACHMENTS • Microsoft Enterprise Agreement Renewal Enrollment Documents • Microsoft Enterprise Agreement Pricing Spreadsheet • Microsoft Enterprise Agreement Benefit Chart 9 10 In Microsoft Program Signature Form MBA/MBSA number Agreement number 01E73529 Volume Licensing Note: Enter the applicable active numbers associated with the documents below. Microsoft requires the associated active number be indicated here, or listed below as new. For the purposes of this form, "Customer" can mean the signing entity, Enrolled Affiliate, Government Partner, Institution, or other party entering into a volume licensing program agreement. This signature form and all contract documents identified in the table below are entered into between the Customer and the Microsoft Affiliate signing, as of the effective date identified below. Contract Document <Choose Agreement> Number or Code <Choose Agreement> <Choose Agreement> <Choose Agreement> <Choose Agreement> Enterprise Enrollment X20-03621 <Choose Enrollment/Registration> <Choose Enrollment/Registration> <Choose Enrollment/Registration> <Choose Enrollment/Registration> EA Product Selection Form X20-03622 By signing below, Customer and the Microsoft Affiliate agree that both parties (1) have received, read and understand the above contract documents, including any websites or documents incorporated by reference and any amendments and (2) agree to be bound by the terms of all such documents. Customer Name of Entity (must be legal entity name)* City of Tukwila Signature* Printed First and Last Name* Jim Haggerton Printed Title* Mayor Signature Date* Tax ID * indicates required field ProgramSignForm(MSSign)(NA,LatAm)ExBRA,MLI(ENG)(Oct2012) Page 1 of 3 11 Microsoft 12 Affiliate Microsoft Licensing, GP Signature Printed First and Last Name Printed Title Signature Date (date Microsoft Affiliate countersigns) Effective Date (may be different than Microsoft's signature date Optional tdCustomer signature or Outsourcer signature (if applicable) Customer Name of Entity (must be legal entity Signature* Printed First and Last Name* Printed Title* Signature Date* * indicates required field Outsourcer Name of Entity (must be legal entity name)* Signature* Printed First and Last Name* Printed Title* Signature Date* * indicates required field If Customer requires physical noedia, additional oontads, or is reporting multiple previous EnroUmenta, include the appropriate form(s) with this signature form. After this signature form is signed by the Cushomer, send it and the Contract Documents to Customer's channel partner or Microsoft account manoger, who must submit them to the following address. When the signature form is fully executed by Microsoft, Customer will receive a confirmation copy. Microsoft Licensing, GP Dept. 551, Volume Licensing 6100 Neil Road, Suite 210 Reno, Nevada 89511-1137 USA pmgramSignFonnVNSGignXwxLuu\mVExaFA, 21 Page 2 of 3 Prepared By:Bruce Valentin bvalenti @compucom.cotn ProgramSignForm( MSSign)( NA ,LatAm)ExBRA,MLI(ENG)(Oct2012) Page 3 of 3 13 14 *c osoft Volume Licensing Enterprise and Enterprise Subscription Enrollment Product Selection Form State and Local Enrollment Number Microsoft to complete for initial term Reseller to complete for renewal Step 1. Please indicate whether Enrolled Affiliate is ordering Enterprise Products or Enterprise Online Services on the initial enrollment order. Choose both if applicable. ElEnterprise Products.Choose platform option: Enterprise Desktop with MDOP Qualified Devices: Qualified Users:350 ElEnterprise Online Services1 Step 2. Select the Products and Quantities Enrolled Affiliate is ordering on its initial Enrollment Order. Quantity may not include any Licenses which Enrolled Affiliate has selected for optional future use, or to which it is transitioning or stepping up within enrollment term Products for which the Enrolled Affiliate has an option to transition or step-up should be listed in Step 3. Products2 Office Professional Plus Quantity Office Pro Plus 300 Office Pro Plus for Office 365 Office 365 Plans' Office 365 (Plan El) Office 365 (Plan E2) Office 365 (Plan E3) Office 365 (Plan E4) Client Access License (CAL). Choose 1 Option. Core CAL, including Bridge CAL's (if applicable) Core CAL Core CAL Bridge for Office 365 Core CAL Bridge for Windows Intune Core CAL Bridge for Office 365 and Windows Intune ElEnterprise CAL (ECAL) ECAL 350 ECAL Bridge for Office 365 ECAL Bridge for Windows Intune ECAL Bridge for Office 365 and Windows Intune The Client Access License selection must be the same across the Enterprise. Specify whether licensing CAL per Device or User: User Windows Desktop Windows OS Upgrade 300 Windows VDA Windows Intone Windows Intune Windows Intune Add-oni Other Enterprise Products Microsoft Desktop Optimization Pack (MDOP)4 EA-EASProdSelForm(US)SLG(ENG)(Oct2012) Page 1 of 2 Document X20-03622 15 16 If selecting Windows Desktop or Windows Intune option, Enrolled Affiliate acknowledges the following: a. The Windows Desktop Operating System Upgrade licenses offered through this Enrollment are not full licenses. The Enrolled Affiliate and any included Affiliates have qualifying operating system licenses for all devices on which the Windows Desktop Operating System Upgrade or Windows Intune licensesare run. b. In order to use a third party to reimage the Windows Operating System Upgrade, Enrolled Affiliate must certify that Enrolled Affiliate has acquired qualifying operating system licenses. See the Product List for details. Step 3. Indicate new Enterprise Products and Online Services Enrolled Affiliate has selected for optional future use where not selected on the initial enrollment order (above): LiOffice Pro Plus for Office 365 111Offiue3O5 (Plan El) []{Jfhce3O5 (Plan E2) �lOffice 365 (Plan E3) []O#ioa3G5 (Plan E4) Enterprise CAL (ECAL) Step-up, including Bridge CALs []VVindmwo|ntune -, - FlWindovva|nhuneAdd-onx This ~,"-__-_--=--g-___`-~~=--"' 2) Page 2 of 2 Document X20-03622 Microsoft o�o.~ Enterprise Enrollment ~-^^~`~^r- ^�~^ --'-'''-''- Enterprise Enrollment number (Microsoft to complete) Previous Enrollment number (Reseller to complete) 6216554 Volume Licensing ' vu����� ���������� � ''� cn Proposal ID/Framework ID Earliest expiring previous Enrollment end date 1 U State and Local This Enrollment must be attached to a signature form to be valid. This Microsoft Ente i Enrollment is entered into between the entities as identified in the signature form as of the effective date.Enrollment Affiliate represents and warrants it is the same Customer, or an Affiliate of the Customer, that entered into the Enterprise Agreement identified on the program signature form. This Enrollment consists of: (1) these terms d conditions, (2) the terms f the Enterprise Agreement identified on the signature form, (3) the Product Selection Form, (4) any supplemental contact information form or Previous Agreement/Enrollment form that may be required, (5) any order submitted under this Enrollment. This Enrollment may only be entered into under a 2011 or later Enterprise Agreement. All terms used but not defined are located at http://vvvvw.microsoft.corn/licensinq/contracts. In the event of any conflict the terms of this agreement control. Effective date. If Enrolled Affiliate is renewing Software Assurance or Subscription Licenses from one or more previous Enrollments or agreements, then the effective date will be the day after the first prior Enrollment or agreement expires or terminates. Otherwise, the effective date will be the date this Enrollment is accepted by Microsoft. If renewing Software Assurance, the Reseller vvill need to insert the previous enrollment or agreement number and end date in the respective boxes above. Term. This Enrollment will expire on the last day of the month, 36 full calendar months from the effective date unless otherwise renewed. Any reference in this Enrollment to "day" will be a calendar day. Product order. The Rene/|erwi|| provide Enrolled Affiliate with Enrolled Affiliate's Product pricing and order. Prices and biUingternnafnra||Product ordered will be determined by agreement between Enrolled Affi|iubaand the ReseUer.The Reeo||erwiU provide &1icroso�vv iththeonjersepanate|yhomthisEnrm||ment. .^��. Prior EnnoUmmmnt(s). If renewing Software Assurance or Subscription Licenses from another Enrollment or agreement, the previous Enrollment or agreement number and end date must be identified in the respective boxes above. If renewing from multiple Enrollments or agnaemonta, or transferring Software Assurance or MSDN details, the Previous Agreement/Enrollment form must be used. Terms and Conditions Terms used but not defined in this Enrollment will have the foflowing definitions are used in this Enroflment: "Additional Product" means any Product identified as such Affiliate under this Enrollment. definition in the Enterprise Agreement. The in the Product List and chosen by Enrolled EA28 1a) Page 1 of 10 Document X20-03621 18 "Enterprise Online Service" means any Online Service designated as an Enterprise Online Service in the Product List and chosen by Enrolled Affiliate under this Enrollment. Enterprise Online Services are treated as Online Services, except as noted. "Enterprise Product" means any Desktop Platform Product that Microsoft designates as an Enterprise Product in the Product List and chosen by Enrolled Affiliate under this Enrollment. Enterprise Products may only be licensed for all Qualified Devices and Qualified Users on an Enterprise -wide basis under this program. "Expiration Date" means the date upon which the Enrollment expires. "Industry Device" (also known as line of business device) means any device that: (1) is not useable in its deployed configuration as a general purpose personal computing device (such as a personal computer), a multi- function server, or a commercially viable substitute for one of these systems; and (2) only employs an industry or task - specific software program (e.g. a computer -aided design program used by an architect or a point of sale program) ( "Industry Program "). The device may include features and functions derived from Microsoft software or third -party software. If the device performs desktop functions (such as email, word processing, spreadsheets, database, network or Internet browsing, or scheduling, or personal finance), then the desktop functions: (1) may only be used for the purpose of supporting the Industry Program functionality; and (2) must be technically integrated with the Industry Program or employ technically enforced policies or architecture to operate only when used with the Industry Program functionality. "Qualified Device" means any device that is used by or for the benefit of Enrolled Affiliate's Enterprise and is (1) a personal desktop computer, portable computer, workstation, or similar, device capable of running Windows Professional locally (in a physical or virtual operating system environment), OR (2) a device used to access a virtual desktop infrastructure (`VDI' ) :. Qualified Devices do not includeany device that is (1) designated as a server and not used as a personal computer, OR (2) an. Industry Device, OR (3) not managed (as defined in'':the Product List at the start of the applicable initial or renewal term of the Enrollment) as part of Enrolled Affiliate's Enterprise. At its option, the Enrolled Affiliate may designate any device excluded above (e.g., Industry Device) as a Qualified Device -for all or a subset of Enterprise Products or Online Services the Enrolled Affiliate has selected. "Qualified User" means a person (e.g., employee, consultant, contingent staff) who: (1) is a user of a Qualified Device, or (2) accesses any server software, requiring an Enterprise Product Client Access License or any Enterprise Online Service. It does not include a person who accesses server software or an Online Service solely under a License identified in the Qualified User exemptions in the Product List. "Reserved License" means for an Online Service identified as eligible for true -ups in the Product List, the License reserved by Enrolled Affiliate prior to use and for which Microsoft will make the Online Service available for activation. "Transition" means the conversion of one or more License to or from another License(s). Products eligible for Transition and permitted Transitions are identified in the Product List. "Transition Period" means the time between the Transition and the next Enrollment anniversary date for which the Transition is reported. 2. Purpose. This Enrollment enables Enrolled Affiliate's Enterprise to obtain, or subscribe to, Licenses for Enterprise Products, Enterprise Online Services, and Additional Products. Enrolled Affiliate may choose between on- premise software and Online Services as well as the ability to transition Licenses to Online Services while maintaining Enterprise -wide coverage. Additionally, Enterprise Online Services may be purchased without Enterprise -wide coverage. 3. Product Use Rights, Qualifying Systems Licenses and Transitions. In addition to applicable terms of the Enterprise Agreement, the following terms apply to this Enrollment: EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 2 of 10 Document X20 -03621 a. Product Use Rights. For Enterprise Products, if a new Product version has more restrictive use rights than the version that is current at the start of the applicable initial or renewal term of the Enrollment, those more restrictive use rights will not apply to the Enrolled Affiliate's use of that Product during the term. b. Qualifying systems Licenses. The operating system Licenses granted under this program is upgrade Licenses only. Full operating system Licenses are not available under this program. If Enrolled Affiliate selects any Desktop Platform, Windows Desktop Operating System Upgrade, or Windows Intune, all Qualified Devices on which Enrolled Affiliate expects to run the Windows Desktop Operating System Upgrade must be licensed to run, and have installed on them, one of the qualifying operating systems identified in the Product List. Note that the list of operating systems that qualify for the Windows Desktop Operating System Upgrade varies with the circumstances of the order. That list is more extensive at the time of the initial order than it is for some subsequent orders and system refreshes during the term of this Enrollment. Exclusions are subject to change when new versions of Windows are released. For example: The following are not considered qualifying operating systems: (1) ANY Windows Home or Starter edition; (2) Embedded Systems; and (3) Linux. These are examples of exclusions only and may change. Please see Product List for all current qualifying operating systems. c. Transitions. The following requirements apply to Transitions: (i) Licenses with active Software Assurance or Subscription Licenses may be Transitioned at any time if permitted in the Product List. While Enrolled Affiliate may Transition any time it will not be able to reduce Licenses or associated Software Assurance prior to the end of the Transition Period. (ii) Enrolled"'Affiliate must order the. Licenses to which it is transitioning for the year(s) following the Transition Period (iii) If a Transition is made back to a License that had active Software Assurance as of the date of Transition, then Software Assurance will need to , be re- ordered for all such Licenses on a prospective basis following the Transition Period. Software Assurance coverage may not exceed the quantity of perpetual Licenses for which Software Assurance was current at the time of any prior Transition. Software Assurance may not be applied to Licenses transferred by Enrolled Affiliate. (iv) If a device -based License is Transitioned to a user -based License, all users of the device must be licensed as part of the Transition. (v) If a user -based License is Transitioned to a device -based License, all devices accessed by the user must be licensed as part of the Transition. d. Effect of Transition on Licenses. Transition will not affect Enrolled Affiliate's rights in perpetual Licenses paid in full. (i) New version rights will be granted for perpetual Licenses covered by Software Assurance up to the end of the Transition Period. (ii) For L &SA not paid in full at the end of the Transition Period, Enrolled Affiliate will have perpetual Licenses for a proportional amount equal to the total of installments paid versus total amounts due (paid and payable) for the Transitioned Product. (iii) For L &SA not paid in full or granted a perpetual License in accordance with the above or Subscription Licenses, all rights to Transitioned Licenses cease at the end of the Transition Period. EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 3 of 10 Document X20 -03621 19 20 4. Pricing. a. Price Levels. For both the initial and any renewal term Enrolled Affiliate's Price Level for all Products ordered under this Enrollment will be Level "D" throughout the term of the Enrollment. Price Level's will be captured in the Product Selection Form. b. Setting Prices. Enrolled Affiliate's prices for each Product will be established by its Reseller. Microsoft's prices for Resellers are fixed throughout the Enrollment term based upon current prices at the time of the initial order for the Product. This includes the following: (i) Any future pricing (if applicable); and (ii) Prices for Transitions, including any prices related to the use of a Product during the Transition Period (if applicable). 5. Order requirements. a. Minimum Order Requirements. Enrolled Affiliate's Enterprise must have a minimum of 250 Qualified Users or Qualified Devices. (i) Initial Order. Initial order must include at least 250 Licenses from one of the four groups outlined in the Product Selection Form. (ii) If choosing Enterprise Products. If choosing Enterprise Products in a specific group outlined in the Product Selection Form, Enrolled, Affiliate's initial: order must include an Enterprise - wide selection of one or more Enterprise, Products or a mix of Enterprise Products and corresponding Enterprise Online Services for that_` group. (iii) Additional Products. Upon satisfying the minimum order requirements above ,Enrolled Affiliate may order Additional Products. (iv) Country of Usage. Enrolled Affiliate must specify the countries where Licenses will be used on its initial order and on any additional orders. b. Adding Products. (i) Adding new Products not previously ordered. Enrolled Affiliate may add new Enterprise Products by entering into a new Enrollment or as part of a renewal. New Enterprise Online Services may be added by contacting a Reseller. New Additional Products, other than Online Services, may be used if an order is placed in the month the Product is first used. For Additional Products that are Online Services, an initial order for the Online Service is required prior to use. (ii) Adding Licenses for previously ordered Products.Additional Licenses for previously ordered Products must be included in the next true -up order. Enrolled Affiliate must order Licenses for Online Services prior to use, unless the Online Services are (1) identified as eligible for true -up in the Product List or (2) included as part of other Licenses (e.g., Enterprise CAL). c. True -up orders. Enrolled Affiliate must submit an annual true -up order that accounts for changes since the initial order or last true -up order, including: (1) any increase in Licenses, including any increase in Qualified Devices or Qualified Users and Reserved Licenses; (2) Transitions (if permitted); or (3) Subscription License quantity reductions (if permitted). Microsoft, at its discretion and as permitted by applicable law, may validate the customer true -up data submitted through a formal product deployment assessment, using an approved Microsoft partner. The true -up order must be received by Microsoft between 60 and 30 days prior to the Enrollment anniversary date. The third -year anniversary true -up order is due within 30 days prior to the Expiration Date. Enrolled Affiliate may true -up more often than at each Enrollment anniversary date except for Subscription License reductions. EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 4 of 10 Document X20 -03621 (i) Enterprise Products. Enrolled Affiliate must determine the current number of Qualified Devices and Qualified Users (if ordering user -based Licenses) and order the License difference (if any), including any Enterprise Online Services. (ii) Additional Products. For Products which have been previously ordered, Enrolled Affiliate must determine the Additional Products used and order the License difference (if any). (iii) Online Services. For Online Services identified as eligible for true -up orders in the Product List, Enrolled Affiliate must first reserve the additional Licenses prior to use. Microsoft will provide a report of Reserved Licenses in excess of existing orders to Enrolled Affiliate and its Reseller. Reserved Licenses will be invoiced retroactively for the prior year based upon the month in which they were reserved. (iv) Late true -up order. If the true -up order is not received when due: 1) Microsoft will invoice Reseller for all Reserved Licenses not previously ordered. 2) Transitions and Subscription License reductions cannot be reported until the following Enrollment anniversary date (or at Enrollment renewal, as applicable). (v) Transitions. Enrolled Affiliate must report all Transitions. Transitions may result in an increase in Licenses to be included on the true -up order and a reduction of Licenses for prior orders. Reductions in Licenses will be effective at end of the Transition Period. Associated invoices will also reflect this change. For Licenses paid upfront, Microsoft will issue a credit for the remaining months of Software Assurance or Subscription Licenses that were reduced as part of the Transition. (vi) Subscription F License Reductions Enrolled Affiliate may reduce the quantity of Subscription Licenses on a prospective basis if permitted in the Product (ist_ as follows: 1) For Subscription Licenses part of an Enterprise-wide commitment, Licenses may be reduced if the total quantity of Licenses and Software Assurance for an applicable group meets or exceeds the quantity of Qualified Devices identified on the Product Selection Form. Step -up Licenses do not count towards this total count. 2) For Enterprise Online Services not a part of an Enterprise -wide commitment, Licenses can be reduced as long as the initial order minimum requirements are maintained. 3) For Additional Products available as Subscription Licenses, Enrolled Affiliate may reduce the Licenses. If the License count is reduced to zero, then Enrolled Affiliate's use of the applicable Subscription License will be cancelled. Invoices will be adjusted to reflect any reductions in Subscription Licenses at the true -up order Enrollment anniversary date and effective as of such date. (vii)Update statement. An update statement must be submitted instead of a true -up order if, as of the initial order or last true -up order, Enrolled Affiliate's Enterprise has not: (1) changed the number of Qualified Devices and Qualified Users licensed with Enterprise Products or Enterprise Online Services; and (2) increased its usage of Additional Products. This update statement must be signed by Enrolled Affiliate's authorized representative. The update statement must be received by Microsoft between 60 and 30 days prior to the Enrollment anniversary date. The last update statement is due at least 30 days prior to the Expiration Date. d. Step -up Licenses. For Licenses eligible for a step -up under this Enrollment, Enrolled Affiliate may step -up to a higher edition or suite as follows: (i) For step -up Licenses included on an initial order, Enrolled Affiliate may order according to the true -up process. EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 5 of 10 Document X20 -03621 21 22 (ii) If step -up Licenses are not included on an initial order, Enrolled Affiliate may step -up initially by following the process described in the Section titled "Adding new Products not previously ordered," then for additional step -up Licenses, by following the true -up order process. (iii) If Enrolled Affiliate has previously ordered an Online Service as an Additional Product and wants to step -up to an Enterprise Online Service eligible for a Transition, the step -up may be reported as a Transition. (iv) If Enrolled Affiliate Transitions a License, it may be able to further step -up the Transitioned License. If Enrolled Affiliate chooses to step -up and the step -up License is separately eligible to be Transitioned, such step -up Licenses may result in a License reduction at the Enrollment anniversary date following the step -up. 6. Payment terms. For the initial or renewal order, Enrolled Affiliate may pay upfront or elect to spread its payments over the applicable Enrollment term. If spread payments are elected, unless indicated otherwise, Microsoft will invoice Enrolled Affiliate's Reseller in three equal annual installments. The first installment will be invoiced upon Microsoft's acceptance of this Enrollment and on each Enrollment anniversary date. Subsequent orders are invoiced upon acceptance of the order and Enrolled Affiliate may elect to pay annually or upfront for Online Services and upfront for all other Licenses. 7. End of Enrollment term and termination. a. General. At the Expiration Date, Enrolled Affiliate must immediately order and pay for Licenses for` Products it has used but has not previously s_ ubmitted an order, except as otherwise provided in this Enrollment. b. Renewal Option. At the Expiration Date, Enrolled Affiliate can "renew Products by renewing the Enrollment for one additional 36 full calendar month: term. or, signing a new Enrollment. Microsoft must receive a Product -Selection Form and renewal order prior to or at the Expiration Date. The renewal term will start 'on the day; following the Expiration Date. Microsoft will not unreasonably reject any renewal. Microsoft may make a change to this program that will make it necessary for Customer and its Enrolled Affiliates to enter into new Agreements and Enrollments. c If Enrolled Affiliate elects not to renew. (i) Software Assurance. If Enrolled Affiliate elects not to renew Software Assurance for any Product under its Enrollment, then Enrolled Affiliate will not be permitted to order Software Assurance later without first acquiring L &SA. (ii) Online Services eligible for an Extended Term. For Online Services identified as eligible for an Extended Term in the Product List, the following options are available at the end of the Enrollment initial or renewal term. 1) Extended Term. Licenses for Online Services will automatically expire in accordance with the terms of the Enrollment. An extended term feature that allows Online Services to continue month -to -month ( "Extended Term ") is available. During the Extended Term, Online Services will be invoiced monthly at the then - current published price for Enrolled Affiliate's price level as of the Expiration Date plus a 3% administrative fee for up to one year. If Enrolled Affiliate does want an Extended Term, Government Partner must submit a request to Microsoft. Microsoft must receive the request not less than 30 days prior to the Expiration Date. 2) Cancellation during Extended Term. If Enrolled Affiliate has opted for the Extended Term and later determines not to continue with the Extended Term, Government Partner must submit a notice of cancellation for each Online Service. Cancellation EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 6 of 10 Document X20 -03621 will be effective at the end of the month following 30 days after Microsoft has received the notice. (iii) Online Services not eligible for an Extended Term. If Online Services are not identified as eligible for an Extended Term in the Product List, the Licenses will be cancelled and will terminate as of the Expiration Date. Any associated media must be uninstalled and destroyed and Enrolled Affiliate's Enterprise must discontinue use. Microsoft may request written certification to verify compliance. (iv) Customer Data. Upon expiration or termination of a License for Online Services, Enrolled Affiliate must tell Microsoft whether to: 1) disable its account and then delete its Customer Data ( "Data Deletion "); or 2) retain its Customer Data in a limited function account for at least 90 days after expiration or termination of the License for such Online Service (the "Retention Period ") so that Enrolled Affiliate may extract its Customer Data. 3) If Enrolled Affiliate indicates Data Deletion, Enrolled Affiliate will not be able to extract its Customer Data. If Enrolled Affiliate indicates it wants a Retention Period, Enrolled Affiliate will be able to extract its Customer Data through Microsoft's standard processes and tools, and Enrolled Affiliate will reimburse Microsoft if there are any applicable costs to the extent allowed by applicable law. If Enrolled Affiliate does not indicate either Data Deletion or a Retention Period, Microsoft will retain Enrolled Affiliate's Customer Data in accordance with the Retention Period. 4) Following the expiration of the Retention Period, M icrosoft will disable Enrolled Affiliate's account and then delete its Customer Data 5) Enrolled'. Affiliate agrees that other than .,as described above ' Microsoft ; has no obligation to continue to hold, export or return Enrolled Affiliate's Customer: Data Enrolled Affiliate agrees Microsoft has no liability whatsoever for deletion of Enrolled Affiliate's Customer Data pursuant to these terms. d. Termination for cause. Any termination for cause of this: Enrollment will be subject to the "Termination for cause" Section of the agreement. e. Early termination. Any Early termination of this Enrollment will be subject to the "Early Termination" Section of the Enterprise Agreement. For Subscription Licenses, in the event of a breach by Microsoft, Microsoft will issue Reseller a credit for any amount paid in advance that would apply after the date of termination. EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 7 of 10 Document X20 -03621 23 24 Enrollment Details 1. Enrolled Affiliate's Enterprise. Use this section to identify which Agency Affiliates are included in the Enterprise. (Required) Enrolled Affiliate's Enterprise must consist of entire offices, bureaus, agencies, departments or other entities of Enrolled Affiliate, not partial offices, bureaus, agencies, or departments, or other partial entities. Enrolled Affiliate's organization includes . Check only one box in this section: Enrolled Affiliate ❑ Enrolled Affiliate and the following Affiliate(s): ❑ Enrolled Affiliate and all Affiliates, with following Affiliate(s) excluded: Please indicate whether the Enrolled Affiliate's Enterprise will include all:new:Affiliates acquired after the start of this Enrollment: Include future Affiliates 2. Contact information. Each party will notify the other in writing if any of the information in the following contact information page(s) changes. The asterisks ( *) indicate required fields. By providing contact information, Enrolled Affiliate consents to its use for purposes of administering this Enrollment by Microsoft, its Affiliates, and other parties that help administer this Enrollment. The personal information provided in connection with this Enrollment will be used and protected in accordance with the privacy statement available at https://www.microsoft.com/licensing/servicecenter. a. Primary contact. This contact is the primary contact for the Enrollment from within Enrolled Affiliate's Enterprise. This contact is also an Online Administrator for the Volume Licensing Service Center and may grant online access to others. Name of entity (must be legal entity name) *City of Tukwila Contact name* FirstMaryLastMiotke Contact email address *mary.miotke @tukwilawa.gov Street address *6200 Southcenter Blvd City *Tukwila State /Province *WA Postal code *98188 -2544 (For U.S. addresses, please provide the zip + 4, e.g. xxxxx -xxxx) Country *USA Phone *(206) 433 -7150 Tax ID N/A EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 8 of 10 Document X20 -03621 * indicates required fields b. Notices contact and Online Administrator. This contact (1) receives the contractual notices, (2) is the Online Administrator for the Volume Licensing Service Center and may grant online access to others, and (3) is authorized for applicable Online Services to add or reassign Licenses, step -up, and initiate Transitions prior to a true -up order. ® Same as primary contact Name of entity* Contact name* First Last Contact email address* Street address* City* State /Province* Postal code* (For U.S. addresses, please provide the zip + 4, e.g. xxxxx -xxxx) Country* Phone* Language preference. Choose the language for notices. ,English ❑ This contact is a third party (not the Enrolled Affiliate). Warning: This contact receives personally identifiable information of the Customer and its Affiliates. * indicates required fields c. Microsoft Account Manager. Microsoft Account Manager for this Enrolled Affiliate is Microsoft account manager name: Microsoft account manager email address: d. Online Services Manager. This contact is authorized to manage the Online Services ordered under the Enrollment and (for applicable Online' Services) to add or reassign Licenses, step -up, and initiate Transitions prior to a true -up order:. ® Same as notices contact and Online Administrator Name of entity* Contact name *: First Last Contact email address* Street address* City* State /Province* Postal code* Country* Phone* ❑This contact is from a third party organization (not the entity). Warning: This contact receives personally identifiable information of the entity. * indicates required fields e. Reseller information. Reseller contact for this Enrollment is: Reseller company name* CompuCom Systems, Inc. Street address (PO boxes will not be accepted)* 7171 Forest Lane City* Dallas State /Province* TX Postal code* 75230 -2306 Country* USA Contact name* Bruce Valentin Phone* 972 - 856 -4617 Contact email address* bvalenti @compucom.com * indicates required fields EA2012EnrGov (US)SLG(ENG)(Oct2012) Page 9 of 10 Document X20 -03621 25 The undersigned confirms that the information is correct. Name of Reseller* CompuCom Systems, Inc. Signature* Printed name* Bruce E. Valentin Printed title* Microsoft Licensing Specialist Date* * indicates required fields Changing a Reseller. If Microsoft or the Reseller chooses to discontinue doing business with each other, Enrolled Affiliate must choose a replacement Reseller. If Enrolled Affiliate or the Reseller intends to terminate their relationship, the initiating party must notify Microsoft and the other party using a form provided by Microsoft at least 90 days prior to the date on which the change is to take effect. f. If Enrolled Affiliate requires a separate contact for any of the following, attach the Supplemental Contact Information form. Otherwise, the notices contact and Online Administrator remains the default. (i) Additional notices contact (ii) Software Assurance manager (iii) Subscriptions manager (iv) Customer Support Manager (CSM) contact 3. Financing elections. Is a purchase under this Enrollment being financed through MS Financing? No EA2012EnrGov (US)SLG(ENG)(Oct2012) 26 Page 10 of 10 Document X20 -03621 Microsoft Enterprise Agreement Renewal November, 2013 Qty Price Extended 76A -00016 EntCAL ALNG SA MVL Pltfrm UsrCAL wSrvcs 350 $82.42 $ 28,847.00 269 -12442 OfficeProPlus ALNG SA MVL Pltfrm 300 $79.40 $ 23,820.00 K4U -00265 WinProw /MDOP ALNG SA MVL Pltfrm 300 $35.54 $ 10,662.00 312 -02257 ExchgSvrStd ALNG SA MVL 1 $114.24 $ 114.24 YEG -00634 LyncSvrPlusCAL ALNG SA MVL forECAL UsrCAL (Option if use) 350 $16.44 $ 5,754.00 5HU -00216 LyncSvr ALNG SA MVL 1 $588.48 $ 588.48 H04 -00268 SharePointSvr ALNG SA MVL 1 $1,096.41 $ 1,096.41 7NQ -00292 SQLSvrStdCore ALNG SA MVL 2Lic CoreLic 2 $578.62 $ 1,157.24 T6L -00238 SysCtrDatactr ALNG SA MVL 2Proc 8 $387.94 $ 3,103.52 T9L -00223 SysCtrStd ALNG SA MVL 2Proc 1 $143.01 $ 143.01 F2R -00010 VDIStew /oMDOP ALNG SubsVL MVL PerDvc 50 $7.19 $ 359.50 P71 -07282 WinSvrDataCtr ALNG SA MVL 2Proc 3 $775.87 $ 2,327.61 P73 -05898 WinSvrStd ALNG SA MVL 2Proc 2 $143.01 $ 286.02 $ 78,259.03 27 28 Microsoft Enterprise Agreement - Benefits November, 2013 Description ♦rL� V • M�-�.v Planning Services --, 4 Hours Pays Microsoft Partners to perform specific services to assist in getting the most out of your volume licensing agreement. These services are based upon best practices from Microsoft with the objective of reducing cost and complexity while using high levels of process automation. Office Multi- Language Pack 1 Pack Allows organizations to configure Office in multiple languages. It includes all individual languages, dialects, and proofing and editing tools. Windows Fundamentals for Legacy PCs 1 Kit The best solution for reducing the total cost of ownership for legacy PCs. Technical Training Vouchers 30 Days Training vouchers may be granted to comapny employees for use at Microsoft Certified Partner for Learing Solutions, the premier channel for delivering products and services. Provides technical employees with the necessary skills and knowledge to unleash creativity and productivity, providing early access to products and offering the latest training solutions. Home Use Program Per license Allows employees to obtain a copy of the desktop applications in Microsoft Office Systems for which they are licensed to install on a home computer, allowing them to work at home with confidence in the compatibility of documents they create. 24x7 Problem Resolution Support Unlimited 24x7 Problem Resolution Support Incidents enables us to reach Microsoft support help at any time. Business - critical 24x7 phone support for all Microsoft server products, Microsoft Windows, and Microsoft Office Systems is provided. In addition, unlimited web support for all products covered by Software Assurance can be accessed. Tech Net SA Subscription Services 350 Users The TechNet benefit allows your IT professionals to more easily find technical information to plan, deploy, manage, and support Microsoft Products. TechNet Plus Direct 1 Subscription E- Learning - Applications 350 Users Microsoft's E- Learning courses use simulations, demonstrations, animations, and assessment to provide an engaging, effective learning experience for employees who need to upgrade their skills and knowledge. Designed by subject matter experts and updated on an on -going basis, courses can be used as traditional training or as a just -in -time reference resource. E- Learning - Systems 350 Users E- Learning - Servers 26 Users 29 30 TO: City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton Finance & Safety FROM: Rick Still, Parks and Recreation Director Tracy Gallaway, Volunteer & Events Superintendent Warren Orr, Director of Golf DATE: November 13, 2013 SUBJECT: Foster Golf Links — Marketing Plan ISSUE Review of Foster Golf Links Marketing Plan and answer committee questions. BACKGROUND At their August 14th meeting, the Finance & Safety Committee requested further information regarding Foster Golf Links (FGL): A) a brief financial overview, B) a professional review of the FGL marketing plan, C) ideas to increase revenue and D) statistics regarding resident and non- resident use of the golf course. DISCUSSION A. A brief financial overview — Foster Golf Links (FGL) revenue has historically covered all of the golf related operating costs. The Indirect Cost Allocation increased from $13,000 in 2010 to $222,000 in 2011 without understanding the impacts to the budget and making adjustments to the operational model. The golf operations is not a utility where users have to pay the amount they are charged. A golfer can choose to play another golf course or not play golf at all. Attachment A shows a breakdown of the 2013 expenditures and revenues that reflects a different way to look at the budget. Some of the costs, like sales tax, get lost in the bigger grouping of the expenditures. The sales tax and excise tax are an operating cost but not knowing where the money goes it may seem that one should be able to reduce the expenditures by more than is really possible. Furthermore, when fee increases are made the net revenue is not the total amount of the fee increase due to these taxes and the admission tax. B. A professional review of the FGL marketing plan — Staff hired a consultant to review the Foster Golf Links marketing plan; and to expand the plan into a working document that can be implemented by staff. After a review of the current marketing plan, FGL has developed a 2014 Marketing Action Plan (Attachment B). This plan will include programs to retain and strengthen our core golfers. It will include a Loyalty Card Program, in which the collection of customer data provides us the opportunity to effectively market to our core golfer. The action plan also includes strategies to engage lapsed golfers and create new golfers. FGL will develop specialized outreach programs, continue with our Get Golf Ready instructional program, develop more Junior Golf opportunities, and create a community outreach program designed to generate new golfers. C: \Documents and Settings \christy.TUKWILA \ Local Settings \Temporary Internet Files \ Content.Outlook\ FOTTAFSUTGL Marketing Plan 11-13-13 FS MEMO rs.docx 31 32 INFORMATIONAL MEMO 11 -13 -13 Foster Golf Links — Marketing Plan Page 2 C. Ideas to increase revenue — There are several ways proposed to increase revenue at the golf course: 1) to implement the marketing plan (keep current golfers coming back more and increase the number of lapsed and new golfer), 2) to lengthen the golf season, 3) to improve golf course playability, and 4) to adjust fees to the market level and to utilize dynamic pricing. Please see Attachment C for additional information. D. Statistics regarding resident and non - resident use of the golf course — Resident and non - resident statistics are currently tracked in the point of sale (POS) system. Approximately 5% of the golfers are residents. However, the "working residents" (people that work in Tukwila but not necessarily live in Tukwila) have not been tracked. Staff does have an idea of how many of the core golfers are working residents, an additional 7% to 10% of the golfers. All resident use will be better tracked with the loyalty card program because there will be additional benefits associated with residency. RECOMMENDATION Discussion only. ATTACHMENT A. Foster Golf Links — 2013 Expenditures and Revenue Breakdown B. Foster Golf Links — Marketing Plan C. Foster Golf Links — Ideas to increase Revenue C:IDocuments and Settings\christy.TUKWILA \Local Settings\Temporary Internet Files \Content.Outlook \FOTTAFSUIFGL Marketing Plan 11 -13 -13 FS MEMO rs.docx Foster Golf Links 2013 Expenditures and Revenue Breakdown ,,,Mie4,0000,04104; pW'Mayko/owf,,,040F,Axwong&i,,, i'AMM*901" .10'471NOK,-;reAK ApACWS,Anngigarafg rfanr459Wa" AMMOMegal-MARAVANkZgaginamOZEDWAMMAla: AALWOMMeo ,;AA; 4, OLF EXPENDITURES 2013 Golf Operations & Maintenance Salaries, Benefits, Supplies, Green Fees 974,000 1,292,653 -14 Professional Services Merchandise Sales 134,000 Sub Total 1,292,653 y Power Car rentals 175,000 Concession Proceeds 85,000 Capital Improvements 50,000 Other Revenue 24,000 Sub Total 50,000 Attachment A win VOWMangfROOZ Zoatmbw;AA140.mawALAJA,,,biglokgahra,4-$M)0,4PwAgo.,..PA GOLF REVENUES 2103 Golf Course Revenue Golf Operations Sub Total 1,342,653 Taxes Other Agencies Sales Tax 112,000 Excise Tax 6,400 Sub Total 118,400 City Taxes & Overhead Admission Tax 54,000 City Overhead 193,000 Sub Total 247,000 Taxes and Overhead Sub Total Golf Course Sub Total 1,392,000 General Fund Subsidy 400,000 Sub Total 400,000 365,400 Genderal Fund Subsidy Sub Total 400,000 G GRAND TOTAL 1,708,053 GRAND TOTAL 1,792,000 osom'i";Wfrgr OWSSAMMNFORNMICO'igo,„4&„ .0N450.4M4ff,WAA.A%;,,v-,;:;,.:04, "" '``,6 • , -,14ma;OR'?'11'''(%04iggGAM001044011,04grAMSAt24&40/„aga;510MaeridaA*w,,,,,,,,,,,,,,,,,,,,,,,, Foster Golf Links - Marketing Plan November 13, 2013 MAGoll \Marketing \Budget 2012 Golf 9-21-11 REVISED 2013 11-13-13 33 34 ATTACHMENT B Foster Golf Links - 2014 Marketing Action Plan Executive Summary The vision of Foster Golf Links (FGL) is to develop a golf facility that creates a welcome environment and is a source of pride to the Tukwila community. The purpose of this marketing action plan is to identify key ways to increase revenue through maximizing participation. By utilizing a mix of marketing strategies and tools we can develop a targeted approach to increasing participation at FGL by each of these key user groups: Strategy 1: Retain and Strengthen Our Core Strategy 2: Engage Lapsed Golfers Strategy 3: Attract New Customers In order to increase overall participation, FGL needs to create awareness of its value within its core customer base, and then build that awareness outward into the regional golf community where we can engage the lapsed golfer and attract new golfers to our product. In order to accomplish this, FGL must develop an action plan that focuses on collecting customer data and streamlining systems in the winter months, and shifts to actively marketing opportunities as we move into the high season in May. This will allow FGL to be ready to take on the new business it is sure to attract with a well - planned strategy to market to each of the key user groups. Participation Trends While the number of rounds played overall in the United States has declined in recent years, rounds played at FGL have steadily remained above the national average. The factors that influence golf participation include: • Course condition • Weather playability • Customer service Typically, participation at FGL is highest during the months of May through September. This can be attributed to better weather, the return of "snowbirds ", and the beginning of the league play season. During the shoulder seasons, March /April and October, participation levels are heavily affected by the playability of the course which is impacted by weather. In the low season, November through February, participation on the course is primarily from our core customer. 35 36 Strategy 1: Retain and Strengthen our Core Retaining and strengthening our core will be our top priority. According to the National Golf Foundation (NGF), the core golfers, those who play more than 8 times a year, account for 57% of all golfers. More impressively, these golfers account for 94% of rounds played and money spent on industry related products and services. In addition, their greatest asset to any facility is their ability to serve as ambassadors for the facility and the game of golf. Statistics show that it takes 20 new golfers to replace the loss of one core golfer. As with most municipal golf courses, FGL relies heavily on our core customers. At FGL we have approximately 3,500 core customers. To further engage our core customers and to further increase participation, we will implement a Customer Loyalty Program by offering a FGL Rewards Card. By providing our core customers with discounts, hosting exclusive events, special sales and creating a more communal atmosphere, FGL will reward our core customers. Here's how FGL's Rewards Card program will work: To register for the FGL Rewards Card, customers will be required to provide name, address, phone, email address and birthdate. In addition, FGL will record and categorize the golfer's club /league information, if applicable. By capturing this information, FGL will have a better understanding of buying habits, interests, and preferences of its golfers. There will be an annual registration fee $20 to participate in the Rewards Card program. Upon registering, the golfer will receive a free round of golf (restrictions may apply) and 20 points on their Reward's Card. For every dollar spent, a point is earned. Reaching a predetermined level of points, a discount is received, For example, after $100, the member receives a 5% discount on all green and cart fees. After $400, a 10% discount is earned. As the dollar amount spent increases, so does the discount honored. Throughout the season, FGL will host member events such as merchandise sales, member only tournaments and "double points" days. Points will be accrued April 1 — March 31 and reset every April 1. Because FGL's "Point of Sale" (POS) system is currently set up for a Rewards Card system, the only cost to implement the Rewards Card is the cost of the card (currently $0.65 per card). 37 Strategy 2: Engage Lapsed Golfers According to the NGF, 90 million Americans describe themselves as lapsed golfers. Those lapsed golfers offer several reasons for "leaving" the game. Money, time, the difficulty of the game, and family are the reasons most cited. By its own design, FGL is a great facility to re- engage the lapsed golfer. FGL recognizes that the primary audience for our facility is the beginning to intermediate golfer that is looking for a fun, walk -able course. Professionals agree that the more rounds someone plays, the more likely they are to keep playing, work on their game, and invest in new equipment. Strategies to engage lapsed golfers include: 1. Utilize existing systems to capture data to analyze frequency of play. Currently FGL utilizes different systems for different data functions. The three systems currently utilized are: o Golf Now (www.qolfnow.com) — used primarily for on -line tee time booking and marketing to the regional golf market. o Cybergolf (www.cybergolf.com) — used primarily hosting of FGL website and also allows for online tee time bookings. o sZen — used primarily for point of sale transactions and as a customer data tool. By analyzing the data more thoroughly, FGL will be able to determine which type of programming offered will best serve the lapsed player. 2. Utilize the collected data to specifically market the PGA's "Get Golf Ready" program to the lapsed golfer. Get Golf Ready (GGR) — is a group lesson package offered at an affordable rate. In order to promote this program, we will utilize the national marketing platform to reach the regional golf community, and develop specific marketing promotions, such as email blasts and social media, to our e-Club members, Rewards Card members and Billy Baroo's customers. 'r Besides the lesson revenue stream created from the GGR program, what we are really trying to cultivate is a long term relationship with the golfer. The GGR graduate has been shown to have an 80% retention rate and will spend nearly $1,000 annually at the facility. 3. Develop specialized programs and packages for market segments. Specialized programs could include a mix of packages and events such as: o Opportunities to improve their game through individual and group instruction; o Opportunities for socialization through play and dine events; and o Opportunities for competitive play through leagues and tournaments that match up appropriate skill levels. Women golfers, senior /retiree golfers, youth and families are just a few of the market segments we would target with specialized programming. 38 Strategy 3: Attract New Golfers 1. Increasing youth access to golf is very important. With that in mind we will be working on the following initiatives to promote golf to youth in Tukwila: a. Develop a Junior Golf Academy program. The Academy will focus on developing interested and motivated junior golfers through a system of instructional clinics, camps and competitive play among golfers of similar skill level. The Academy will have a tiered system to identify and cultivate all levels of junior golfers. Beginning and intermediate players would begin in the camps and enjoy limited time on the golf course. Once they have shown that they are capable of playing at an acceptable pace, understand the rules and etiquette, and are motivated to better themselves they will be moved up accordingly. ii. Advanced players will compete against their peers to bring out the best in their golf play. By doing this, a stable of players competing in Washington State Golf Association events, high school golf and beyond. b. Develop a Golf Specialty Camp. Work closely with the Recreation Division staff to develop a golf camp to be included in their summer specialty camp program. The program can be a stand -alone golf camp, or it could be integrated into the existing summer day camp program. 2. Tournaments are a great revenue source and opportunity to develop new customers. In order to increase tournament and league participation we will: a. Develop a downloadable tournament package on the FGL website. This will allow each league and tournament to have their own site to promote their event. It also will allow us to collect valuable player data which can be used to reach out to golfers who do not generally frequent FGL. b. Develop an outreach plan. FGL will develop a plan to outreach to local businesses, community organizations, and networking groups including, but not limited to: • FGL Men's and Ladies Clubs • Billy Baroo's patrons and eClub members • Seattle Southside Visitor'Services — area hotel guests • Rotary Club members • Southwest King County Chamber — member businesses & organizations • Starfire Sports — patrons and facility visitors 3. The development of specialized programs and market segments, as noted previously in Strategy 2, could also be utilized to attract new golfers to FGL. 39 40 ATTACHMENT B EXHIBIT 1 Foster Golf Links - 2014 Marketing Action Plan Calendar January • Clean up the mailing list • Utilize Billy Baroo's mailing list to cross market • Prepare calendar of monthly or quarterly specials — April through October o Golf only o Golf & restaurant packages • Prepare information for Recreation Guide (Spring /Summer, May - August) • Design e-blast & newsletter templates • Finalize Rewards Card Program details February • Prepare mailing lists — e -mail and physical addresses o Residents, businesses • Design postcard & bill insert • Flyers to businesses o incentive programs o team building activities o off -site meetings • Rewards Card Program o Train employees o Prepare email launch o Run beta test March • Drop physical cards in the mail • Bill insert mailed • E -blast middle of March • Launch Rewards Card Program via Cybergolf & Golf Now April • Newsletter first week o Outline monthly specials / detail loyalty program • E -blast the first week • E -blast the third week • Bill insert mailed FGL 11/13 41 May • Newsletter first week o Upcoming specials / trivia question • E -blast the first week • E -blast the third week • Bill insert mailed • Prepare information for Recreation Guide (Fall/Winter, September — December) June • Newsletter first week • E -blast the first week • E -blast the third week • Bill insert mailed July • Newsletter first week • E -blast the first week • E -blast the third week • Bill insert mailed August • Newsletter first week • E -blast the first week • E -blast the third week • Bill insert mailed September • Newsletter first week • E -blast the first week • E -blast the third week • Bill insert mailed • Prepare information for Recreation Guide (Winter /Spring, January — April) October • Newsletter first week • E -blast the first week • E -blast the third week November • Newsletter first week . • E -blast the third week December • Newsletter first week • E -blast the third week 42 FGL 11/13 ATTACHMENT B EXHIBIT 2 Foster Golf Links - 2014 Marketing Action Plan Rewards Card Launch Timeline January 2014 PROGRAM DETAILS Finalize Points System details Finalize all Reward's Card amenities -Pool, Parks and Rec, Billy Baroo's, and other local establishments Begin framework of Online Credit Card Purchasing Develop Program Benchmarks January 15th, 2014 PREPARATION AND EDUCATION Complete sZen P.O.S. procedures Develop Registration Paperwork Complete Data Entry -sZen, Men's and Ladies Club data to Cybergolf Email System -cull and update current membership Create and Secure advertisement in Golf Publications Create Posters and Point of Purchase (POP) displays February 1st, 2014 TRAINING & MORE Employee training Rewards Cards delivered Posters and Point of Purchase marketed PDF files prepared for Email and Web Contact League and Club Leadership Finalize Benchmarks February 10th, 2014 BETA TEST REGISTRATION Email 200 Men's Club and 60 Ladies Club members and begin their early registration Launch Rewards Card Web Page February 24th, 2014 EARLY CONTACT Email 500 League players to promote and begin their registration Prepare 3`d Party marketing information Continue training and beta testing March 1st, 2014 LAUNCH REWARDS CARD PROGRAM Email public through Cybergolf Email public through Golf Now Utilize in -house marketing and POP displays 43 PROGRAM JANUARY Routine Marketing Database maintenance X X X,X Monthly e-Newsletter X e-Blast I X Customer Loyalty Program Facebook posts X 1 Scheduled Marketing Bill Inserts Billboard Advertising Flyers - mailing Juniors Program Travel Packages thru SSVS www.colfwashinoton.com Newspaper Advertising FEBRUARY MARCH i I I I X I X X I X X X X X I I I X I I X I I I IX I X X X X Reactive Marketing Texting weather-related oppty 1 e-Blast during off season as weather demands Foster Golf Links 2014 Marketing Action Plan APRIL I MAY X XIXIXIX X I I IX 1 XIXIX1X ;Egg X IX IX X 11 X IX IX X X X X X 'XXIX I I X IX IX IX X IX IX X IX IX IX xx:xx X X IX IX X X I x x xx1xx XxxikxixbCx ; 1 1 M 2(114 Marlicimg Amon Plxii raiiintiar xis JUNE I I X IX IX IX Xi I I X I Ix I X IX IX IX 1 I X I I X I X I / X X X IX Xi X IX IX X X II X X X I•XliX X IXIXIX X I IX X IX I I I I I JULY: I AUGUST SEPTEMBEF I I I I I I I X IX I X IX XIX IX IX X IX IX IX I I I ;I I XI I I I ; I I IX I IX IX I IX IX IX X IX IX iX X IX IX iX X X IX IX IX! I: I Xlx XIX x x ix ix x Ix Ix XIX ),( x x ix X X X1X I 1 1 X X X IX xx xix ix ix x xx x XX x X•Xi:X 'x XXXX x FX x X IX x:x x ,x x x x ,x X :X X X OCTOBER NOVEMBER I I I : ; X 'X IX IX X IX IX IX X iXI lx I I X I XIX IX IX XIX 1XX IX X DECEMBER X IX ,X X I I X X X X X X I , I X 1 XJX 1 ATTACHMENT B EXHIBIT 3 Foster Golf Links - 2014 Marketing Action Plan Effective and Inexpensive Marketing Tools The following is a list of easy and inexpensive ways to create awareness of and build traffic with all 3 key user groups. Bill Inserts — Special notices for upcoming programs and events should be distributed to inform and generate interest in "what's happening" at the golf course. Frequency: Monthly Target: Residents; New and existing customers Coupons /Deals — Special offers targeted local and regional customers. Frequency: Occasionally D In October, FGL did a coupon offering through Amazon. More than 100 "deals" were purchased. Customers have until April 2014 to redeem their coupons. D In November, FGL did a coupon offering through Golf Now. The offer is currently active, and customers will have until February 2014 to redeem their coupons. Target: New customers E -blast - A short e-mail detailing a current special or opportunity. Include a direct link to the special on the website. Frequency: 2x a month, high season lx a month, low season Target: Existing customers 45 E- newsletter - A monthly newsletter with news of upcoming specials, pro tips, junior league information, featured player profile, golf trivia. Release at the first of each month and highlight that month's activities. Include links to the FGL website. Frequency: Monthly Target: Existing customers Facebook Posts — Up -to -date information and offers including tee time availability, "did you know" facts, newsy tidbits, and pro tips. Frequency: 3 -4 times a month Target: New and existing customers Texting — Utilizing a texting program can help promote weather related specials, or tee - time openings. Frequency: Occasionally Target: Existing customers Website — It is critical that the FGL website be monitored to ensure that all information is timely and accurate. Frequency: Weekly Target: New and existing customers Paid Advertising Options Advertising creates awareness and aims to drive consumer behavior in a way that benefits the advertiser. FGL can utilize advertising to make residents and businesses aware of the golf opportunities that are available. Billboards • Westfield Mall Parking Structure Billboard — Cost is $2,000 /month with a production cost of $1,100 per sign. No minimum contract. 46 Newspaper Advertising (Print and Digital) • Local and Regional papers have a variety options. Cost is typically determined by ad size, style and frequency placement. On -line Marketing Resources • Golf Washington (www.golfwashington.com) which has approximately 39,000 unique hits per month; Rates vary from $39 /month to $99 /month depending on package. 47 48 Attachment C Foster Golf Links — Ideas to Increase Revenue Ideas to increase revenue — There are several ways proposed to increase revenue at the golf course: 1) to implement the marketing plan (keep current golfers coming back more and increase the number of lapsed and new golfer), See Attachment B. 2) to lengthen the golf season, See Exhibit 1. 3) to improve golf course playability, See Exhibit 2 and 4) to adjust fees to the market level and to utilize dynamic pricing. A new fee schedule will be prepared for consideration first quarter 2014. 49 50 Attachment C Exhibit 1 Foster Golf Links — Ideas to Increase Revenue Fairway Topdressing and Aeration Program Foster Golf Links proposes to begin a Fairway Aeration and Topdressing Program. This program would begin with the addition of a Deep Tine Aerator, using the Verti-Drain 22-20. It would also include a 5-year commitment to topdressing the critical areas, fairways and tee boxes, on the golf course. Once the process has begun, it is critical to the health of the course that it continues. Primary reasons for topdressing include: • Promotes quicker drying of turf and better drainage • Allows for good soil structure and greater thatch control • Improves and helps maintain a better playing surface while fixing compaction issues • Corrects surface irregularities • Decrease special projects related to drainage • All of these will increase course playability and lengthen the golf season. "Poor drainage," "Too wet" and similar comments are among the primary negative comments received on our recent survey and on customer review websites. In our current situation, carts are restricted from the fairways earlier than our competition, thereby reducing our round potential and limiting seniors and others access to the course. Program Benefits: Better course conditions Respond to our guests concerns and suggested improvements Increase playability and pace of play Increase rounds in the shoulder months (Feb-May and Sept-Nov) Allow carts on fairways more often, providing more opportunities for growth Estimated Costs: Verti-Drain $28,000 Topdressing (10-12 applications per year) — current market pricing estimate of $25,000-$30,000 annually C:\Documents and Settings \christy.TUKWILA\Local Settings \Temporary Internet Files \Content.Outlook\FOTTAFSU 'Attachment C Exhibt 1 Aerating Topdressing Program 11-13- 13.docx 51 N Foster Golf Links CIP 15 -Year Plan a, O a` 2 2, 4 2, 4 2, 4 2, 4 2 4 1 Have to Do 2 Need to do 30,000 3 Nice to do 4 Improve Play Ideas to Increase Revenue Improve Golf Course Playability Attachment C Exhibit 2 30,000 PVI Boiler to Instant an ous 45,000 12 yrs 50,000 50,000 Bunker sand;! rebuild and drainage Green renovation #1 & 3 250,000 20 yrs 7 +16 bunkers 20,000 25,000 25,000 25,000 25,000 25,000 75,000 TBD 75,000 75,000 Green renovation #- 75,000 TBD 75,000 75,000 ion #6 &' 2 150,000 TBD 75,000 50,000 River irrigation pump 23,000 10yrs 23,000 Cal Pe 20,000 10yrs 27,000 Exterior P 25,000 10yrs 32,500 Inte for Painting 15,000 10yrs 17,500 Irrigation pump, pond and pump panel 75,000 20 yrs 75,000 Rivet igation pip 60,000 Permit Issue Pond L TBD G Ope Sub Total 50,000 50,000 0 100,000 0 100,000 100,000 0 100,000 50,000 50,000 0 100,000 50,000 50,000 75,000 ns Budg 35,000 4 yrs new fleet 4 years 30,000 0 32,000 32,000 32,000 0 34,000 34,000 34,000 4, 00 36,000 36,000 36,000 38,000 38,000 38,000 Sub Total 80,000 80,000 32,000 132,000 32,000 132,000 34,000 134,000 34,000 134,000 86,000 86,000 36,000 136,000 88,000 88,000 113,000 TO: City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton Finance and Safety Committee FROM: Stephanie Brown, Human Resources Director DATE: November 19, 2013 SUBJECT: 2014 Non-Represented Wages and Benefits BACKGROUND Earlier this year, the City Council adopted Resolution No. 1796 establishing a compensation policy for City employees. This is also the year in which a market study is conducted for non- represented positions, for 2014 wages. The compensation policy set the parameters as to what comparable jurisdictions would be used for the study. The City Council has determined that they want to survey all Puget Sound jurisdictions within +/- 50% of Tukwila's assessed valuation based upon the Department of Revenue 2012 data. In addition, it is the Council's desire to pay the average for salaries, and to be above average for benefits. DISCUSSION In September, a market study and regression analysis was conducted. The cities surveyed based upon the policy were: Bainbridge Island, Bremerton, Burien, Edmonds, Issaquah, Lakewood, Lynnwood, Marysville, Mukilteo, Puyallup, Sea-Tac, and Shoreline. Thirteen (13) benchmark positions were surveyed using data from the 2013 AWC (Association of Washington Cities) survey. These benchmark positions have been historically used in previous non- represented market studies. The results of the market study revealed that non-represented wages are above the average of the market of the jurisdictions surveyed. The percentage differences range from 0% to17% above the average (survey attached). However, a review of benefits revealed that we lagged the market of our assessed valuation cities, specifically in the area of holiday pay. Therefore, based upon the analysis of the market study, it is the Administrations' recommendation that there not be a wage adjustment for non-represented employees in 2014. However, since the Council desires to be above average for benefits, the Administration is recommending the following changes to non-represented benefits effective January 1, 2014. 1. An additional floating holiday for a total of two (2) annually. The market study revealed that we lag behind our surveyed cities in this area. 2. A one-time contribution of $500 per non-represented employee into their individual HRANEBA account. 3. An increase in the clothing allowance for Police Chief, Fire Chief, Assistant Chiefs (police/fire), and Police Records Manager by an additional $250 per month. This increase will bring their allowance in alignment with the represented employees within their respective departments. 53 INFORMATIONAL MEMO Page 2 As the City is currently in contract negotiations with its represented groups, internal equity considerations will continue to have an effect in future years, and our ability to recruit talent into our workforce. It is also important that consideration be given in 2015 for non - represented employees to receive a COLA adjustment of 90% of CPI W- (June) in order to prevent salary compression with the represented groups. BUDGET IMPACTS The budget impacts for consideration of the recommended changes to non - represented benefits would be: $19,500 ($500 x 39 employees) for 2014 only to fund each non - represented employee's individual HRA VEBA account; and $1,250 for the additional $250 to increase the clothing allowance for five of our uniformed non - represented employees. This clothing cost would carry over in future years. RECOMMENDATION The Finance and Safety Committee is being asked to consider the adjustments to the benefits for non - represented employees effective January 1, 2014, and to forward the resolution to the Committee of the Whole meeting on November 25 for discussion and approval at the Regular meeting on December 2, 2013. ATTACHMENTS Attachment 1 — 2013 Wage & Benefit Data from the Association of Washington Cities (AWC) Resolution in Draft Form Attachment A- Draft 2014 Non - Represented Wage Schedule Attachment B- Draft 2014 Non- Represented Schedule of Benefits Attachment C- Draft 2014 Non - Represented Longevity Pay Schedule 54 2 2013 Wage Data from AWC Salary Survey CITY City Admin. PW Director Police Chief Fin. Dir P &R Dir. DCD Dir. A/C Police Bldg Official Sr. Prog. Mgr. CityClerk Bainbridge Island 12500 10924 12016 12016 10924 10793 8918 8494 7020 Bremerton 11256 11826 11256 10198 10714 7966 8370 5638 Burien 11266 10527 10527 10046 10270 7882. 7298 6446 Edmonds 12216 12826 11634 11634 11634 11080 9115 8268 8681 Issaquah 14502 13152 13152 13152 12526 11362 9815. 9348 8075 Lakewood 14583 10157 10779 10360* 9384 10360 9958 8089 7327 Lynnwood 12052 12222 12051 12051 10858 11024 8973 Marysville 14129 12694 12694 12225 12225 12225 8294 7899 Mukilteo 9253 9253 8717 7736 8717 8377 6093 Puyallup 12794 10758 10758 10758 10758 10758 9621 7853 8403 7343 SeaTac 12783 12198 12198 12198 12198 9297 8114 8017 Shoreline 12932 12037 12037 12037 12037 8733 8312 7527 Tukwila 13069 12208 12208 11795 11795 11795 10710 9294 9294 7829 Average $13,186 $11,435 $11,725 $11,506 $10,981 $10,972 $10,316 $8,630 $8,278 $7,217 (Excludes Tukwila) Dollar Difference -$117 $773 $483 $289 $814 $823 $394 $664 $1,016 $612 Percentage Difference - 0.89% 6.76% 4.12% 2.51% 7.41% 7.50% 3.81% 7.69% 12.27% 8.48% Cities chosen based on +/ -50% of Tukwila's Assessed Valuation utilizing 2012 Department of Revenue data The Fire Chief and Assistant Fire Chief position was removed due to small sample size. Only 3 cities (Bremerton, Lynnwood and Mukilteo) had Fire Departments. 2013 Non -Rep Salary Study Data compiled 8/9/13 KG 2013 Wage Data from AWC Salary Survey CITY Court Administrator Deputy CC Executive Assistant Bainbridge Island 7722 Bremerton 7966 6538 Burien 5404 Edmonds 8268 5056 6478 Issaquah 9815 6027 6974 Lakewood 7775 5553 Lynnwood 9869 5145 6128 Marysville 8708 5470 6031 Mukilteo 6093 Puyallup 6407 4288 5360 SeaTac 8422 5742 6263 Shoreline 5460 5879 Tukwila 9793 6086 6086 Average $8,328 $5,313 $6,064 (Excludes Tukwila) Dollar Difference $1,465 $773 $22 Percentage Difference 17.59% 14.56% 0.37% 2013 Non -Rep Salary Study Data compiled 8/9/13 KG 2013 Benefit Data from AWC Salary Survey CITY Annual Vacation Hours Earned After 1 year 5 Years 10 Years 15 Years 20 Years Holiday Sick Hours Hours Bainbridge Island 96 120 136 160 176 88 96 Bremerton 104 120 160 200 208 88 96 Burien 96 120 144 168 168 88 96 Edmonds 88 128 168 176 192 96 96 Issaquah 96 128 160 176 192 96 96 Lakewood No Data Lynnwood 80 96 136 152 200 96 96 Marysville 88 128 168 192 208 88 96 Mukilteo 104 120 144 160 160 96 96 Puyallup 96 128 160 200 200 112 96 SeaTac 104 136 152 184 184 88 96 Shoreline 104 136 152 184 184 96 96 Tukwila 96 128 160 192 192 1 88 96 Average 96 124 153 177 188 94 96 City of Lakewood has a PTO plan. Data taken from 2013 AWC Wage and Benefit Salary for General Employees. This may include union represented employees (such as Teamsters, AFSCME, etc.). 57 58 D;' AFT A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, UPDATING AND CLARIFYING THE NON - REPRESENTED EMPLOYEES' COMPENSATION AND ADOPTING THE NON - REPRESENTED SALARY SCHEDULE AND BENEFITS SUMMARY, EFFECTIVE JANUARY 1, 2014. WHEREAS, the Tukwila City Council has conducted a review of the non - represented employees' compensation system that was originally implemented in January 1998; and WHEREAS, the City Council recognizes that current economic conditions and forecasts are a consideration in actions that deal with the compensation of employees; and WHEREAS, the City Council has made a determination to review the non - represented compensation for even - numbered years and provide COLAs in odd - numbered years; and WHEREAS, a compensation study has been conducted of cities using +1- 50% of Tukwila's Assessed Valuation per the direction of Resolution No. 1796; and WHEREAS, the recommended non - represented wage schedule and benefit information has been prepared for implementation on January 1, 2014; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The following statements have been used for the purpose of adopting the non - represented employees' wages for 2014 and consideration for future years. A. The following basic plan elements remain the same: 1. Decision Band Methodology (DBM) for creating classifications. W: \Word Processing-City \Resolutions \Non-Represented Employees Compensation -2014 11- 13- 13.doc 11 -13 -13 KG:bjs Page 1 of 3 59 2. Market analysis using comparable jurisdictions' top -step wages. 3. Data was gathered through use of the "Association of Washington Cities (AWC) Salary and Benefits Survey" for cities that are +1- 50% of Tukwila's Assessed Valuation. 4. Regression line analysis did not recommend a wage increase based on data provided. 5. Steps below the Control Point (Wage Schedule Top Step) are automatic as individuals move through the system. 6. Ranges for all bands All - F102 of the Decision Band Methodology will remain at 2013 levels. B. The City shall continue to conduct in -house market analysis of the non - represented compensation system during odd - numbered years, using outside assistance on regression line analysis calculations as needed. The results of the analysis will be considered for implementation on January 1 of the following even - numbered year. C. A COLA increase shall be considered for application each January 1 during odd - numbered years, based on the Seattle- Tacoma - Bremerton Consumer Price Index CPI -W (June). D. The Decision Band method of job evaluation will be used to establish classifications and the relative internal value and relationship of non - represented jobs within the City of Tukwila. E. Merit will continue to be eliminated from the plan at this time and may be reconsidered as a plan element in subsequent years. F. Step increases from the minimum to the control point for all positions shall be given annually on the employee's performance review date. There will be no step increases for employees at or above the control point. Section 2. Non - represented salary schedule and benefits summary. A. The "Non- Represented Salary Schedule — 2014," Attachment A hereto, shall be approved, effective January 1, 2014. B. The "Non- Represented Employee Benefits Summary — 2014," Attachment B hereto, shall be approved, effective January 1, 2014. C. The "Longevity Pay Plan for Non - Represented Employees — 2014," Attachment C hereto, shall be approved, effective January 1, 2014. W: \Word Processing -City \Resolutions \Non- Represented Employees Compensation -2014 11- 13- 13.doc 11 -13 -13 KG:bjs 60 Page 2 of 3 PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2013. ATTEST /AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Kathy Hougardy, Council President APPROVED AS TO FORM BY: Shelley M. Kerslake, City Attorney Filed with the City Clerk: Passed by the City Council: Resolution Number: Attachments: - Attachment A, Non - Represented Salary Schedule — 2014 - Attachment B, Non - Represented Employee Benefits Summary — 2014 - Attachment C, Longevity Pay Plan for Non - Represented Employees — 2014 W: \Word Processing -City \Resolutions \Non - Represented Employees Compensation -2014 11- 13- 13.doc 11 -13 -13 KG:bjs Page 3 of 3 61 62 Attachment A (Page 1 of 3) City of Tukwila Non - Represented Salary Schedule - 2014 Classification Title Job Title Range Administrative Support Technician Administrative Support Technician Al2 Office Technician Human Resources Technician B21 Office Specialist Assistant to the Chief B22 Administrative Assistant Deputy City Clerk Executive Assistant Assistant to the Director Council Administrative Assistant B23 Program Coordinator Systems Administrator Human Resources Assistant C41 Management Coordinator City Clerk Police Records Manager C42 Management Analyst Council Analyst Government Relations Manager Human Resources Analyst Parks & Recreation Analyst Project Analyst Public Works Analyst C42 Program Administrator Internal Operations Manager Public Works Coordinator Emergency Manager C43 Program Manager Assistant City Administrator Senior Program Manager Building Official D61 Administrative Manager Maintenance Operations Manager D62 Assistant Director Deputy Community Development Director Deputy Finance Director Deputy Public Works Director Deputy Parks & Recreation Director Municipal Court Administrator D63 Department Manager Assistant Fire Chief Assistant Police Chief City Engineer D72 63 Attachment A (Page 2 of 3) City of Tukwila Non - Represented Salary Schedule - 2014 Department Administrator Economic Development Administrator E81 Department Head Human Resources Director DCD Director Finance Director IT Director Parks & Recreation Director E83 Department Director Fire Chief Police Chief Public Works Director E91 City Administrator City Administrator F102 64 Attachment A (Page 3 of 3) 2014 - Non - Represented Salary Structure Non - Represented Salary Structure (Monthly) DBM Rating (Minimum) Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 Al 1 3, 860 3,981 4,103 4,223 4,343 Al2 4,166 4,299 4,432 4,562 4,691 A13 4,483 4,621 4,761 4,902 5,040 B21 4,682 4,858 5,035 5,210 5,389 B22 4,987 5,174 5,361 5,549 5,738 B23 5,287 5,487 5,686 5,884 6,086 B31 5,550 5,793 6,036 6,279 6,522 B32 5,992 6,255 6,519 6,781 7,045 C41 6,173 6,418 6,666 6,914 7,161 7,408 C42 6,520 6,783 7,043 7,304 7,565 7,829 C43 6,810 7,083 7,357 7,629 7,901 8,177 C51 7,032 7,347 7,663 7,980 8,294 8,614 C52 7,516 7,854 8,192 8,531 8,871 9,137 D61 7,436 7,808 8,180 8,554 8,925 9,294 D62 7,570 7,946 8,325 8,702 9,082 9,459 D63 7,834 8,226 8,618 9,011 9,403 9,793 D71 8,015 8,453 8,893 9,332 9,771 10,212 D72 8,411 8,870 9,330 9,789 10,251 10,710 E81 8,499 8,924 9,351 9,773 10,229 10,688 11,126 E82 8,812 9,254 9,696 10,137 10,580 11,022 11,463 E83 9,071 9,526 9,978 10,433 10,886 11,340 11,795 E91 9,387 9,857 10,327 10,798 11,267 11,738 12,208 E92 9,774 10,265 10,756 11,244 11,734 12,225 12,714 F101 10,168 10,676 11,183 11,694 12,204 12,710 13,220 F102 10,051 10,552 11,056 11,561 12,064 12,567 13,069 The rates for 2014 will remain at 2013 rates. 65 66 Attachment B (Page 1 of 2) Non - Represented Employee Benefits - 2014 Social Security (FICA): Social Security benefits shall be provided as contained in Section 2.52.010 of the Tukwila Municipal Code (TMC). State -Wide Employee Retirement System (PERS): Retirement shall be provided as contained in Section 2.52.020 of the TMC. Holidays: Holidays shall be provided as contained in Section 2.52.030 of the TMC. Regular part -time employees shall be entitled to benefits on a pro -rata basis. One additional floating holiday (for a total of two floating holidays) shall be provided to each non - represented employee starting in 2014. Sick Leave: Sick leave shall be provided as contained in Section 2.52.040 of the TMC. Regular part -time employees shall be entitled to benefits on a pro -rata basis. Medical Insurance: The City shall pay 100% of the 2014 premium for regular full -time employees and their dependents under the City of Tukwila self - insured medical/ dental plan. Premium increases above 8% per year shall result in a modified plan document to cover the additional cost above 8 %, or a premium shall be implemented for the difference, at the City's discretion. The City reserves the right to select all medical plans and providers. Regular part - time employees shall be entitled to benefits on a pro -rata basis. Employees who choose coverage under the Group Health Cooperative plan shall pay the difference between the City of Tukwila plan full- family rate and the rate charged to them by Group Health. Dental Insurance: The City shall provide 100% of the 2014 premium for the regular full -time employees and all dependents under the City of Tukwila self - insured medical /dental plan for dental coverage. Regular part -time employees shall be entitled to the same benefits on a pro - rata basis. Life Insurance: For regular full-time employees, the City shall pay the premium for Plan C (Multiple of annual earnings) or similar group life and accidental death and dismemberment insurance policy. Said plan shall be at 100% of annual earnings rounded up to the next $1,000. Regular part -time employees that work at least 20 hours per week shall be entitled to benefits on a pro -rata basis (per insurance program requirements). Vision/Optical: To non - represented regular full-time employees and their dependents at the rate of $200 per person, to a maximum of $400 per family unit each year. Regular part -time employees and their dependents shall be entitled to benefits on a pro -rata basis. Disability Insurance: The City shall provide 100% of the premium for regular full -time employees for a comprehensive long -term disability policy. Regular part -time employees that work at least 20 hours per week shall be entitled to benefits on a pro -rata basis (per insurance program requirements). Health Reimbursement Arrangement /Voluntary Employee Benefit Association (HRA/VEBA): VEBA benefits shall be provided as contained in Resolution No. 1445 and as amended. In 2014, there will be a one time contribution of $500 made to each active non - represented employee's individual account by the City. 67 Attachment B (Page 2 of 2) Non - Represented Employee Benefits - 2014 Vacation: Following the sixth month of continuous employment, annual vacation leave of six full days (each day is calculated at eight hours, regardless of schedule worked) shall be granted. Thereafter, an additional day of annual leave shall accrue each month, up to a total of 12 days. Three additional days of annual leave shall be granted on the employee's anniversary date after the third, fourth and fifth years. After six years, the employee shall be granted one day per year additional annual leave to a maximum of 24 days per year. The maximum number of accrued hours is 384 or 48 days. Years of Service Vacation Accrual Years of Service Vacation Accrual 0 -1 years 12 days* 10 years 19 days 1 -2 years 12 days 11 years 20 days 3 -6 years 15 days 12 years 21 days 7 years 16 days 13 years 22 days 8 years 17 days 14 years 23 days 9 years 18 days 15 years 24 days (maximum) *Six full days will be granted following the sixth month of continuous employment. (Days accrue at eight hours, regardless of schedule worked.) Regular part -time employees shall be entitled to benefits on a pro -rata basis. Uniform Allowance: An annual uniform allowance of $600 shall be granted to the following employees: Fire Chief, Assistant Fire Chief, Police Chief, Assistant Police Chief, and Records Manager. 68 Attachment C Longevity Pay Plan for Non - Represented Employees - 2014 The monthly longevity flat rates shall be as follows for regular full -time employees after the completion of the number of years of full time employment with the City set forth below. Regular part -time employees shall receive longevity on a pro -rata basis. Completion of 5 years $75 Completion of 10 years $100 Completion of 15 years $125 Completion of 20 years $150 Completion of 25 years $175 Completion of 30 years $200 69 70 City of Tukwila Jim Haggai- lon, Mayor INFORMATIONAL MEMORANDUM T{]: Mayor H m FINANCE AND SAFETY COMMITTEE FROM: Joyce Trantina, Mayor's Offic DATE: November 6, 2013 SUBJECT: Strategic Planning Implementation — Draft Amendment to the Berk & Associates Contract ISSUE The City is recommending an extension of the contract with Berk and Associates to continue assistance to the City in the implementation of the Strategic Plan. As a result of the significant amount of time spent working across the various stakeholders in our community, Berk staff have an excellent understanding of the unique challenges and expected outcomes by the various groups. BACKGROUND Berk and Associates have provided excellent leadership and guidance to the City in developing and implementing the Strategic Plan and we would like to utilize this expertise during 2014 as we work through the 2015/2016 biennium budget process. These funds are included in the 2013/2014 budget. DISCUSSION The project components will iDC|Ud8faCi|it8t8d work sessions with City leadership, engaging City leaders in a process that builds action oriented workplans. This work will expand the City's organization and development work by establishing City of Tukwila Values that guide how we work with one another and how we treat our partners and customers This contract amendment will extend the contract through December 31, 2014 and will not exceed $65,000 in 2014. This will continue to be funded by the Mayor's office 2013/2014 budget. RECOMMENDATION The Committee is being asked to move this item forward to the consent agenda of the December 2, 2013 City Council Meeting for approval and authorization for execution by the Mayor. ATTACHMENTS Copy of Contract 13-042, Draft of Proposed Amendment 72 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA 98188 Contract Number: 13 -042 Council Approval 2/4/13 CONSULTANT AGREEMENT FOR STRATEGIC PLANNING (CONSULTING) SERVICES THIS AGREEMENT is entered into between the City of Tukwila, Washington, hereinafter referred to as "the City ", and Berk & Associates, hereinafter referred to as "the Consultant ", in consideration of the mutual benefits, terms, and conditions hereinafter specified. 1. Project Designation. The Consultant is retained by the City to perform consulting services in connection with the project titled Strategic Planning. 2. Scope of Services. The Consultant agrees to perform the services, identified on Exhibit "A" attached hereto, including the provision of all labor, materials, equipment and supplies. 3. Duration of Agreement; Time for Performance. This Agreement shall be in full force and effect for a period commencing upon execution and ending December 31, 2013, unless sooner terminated under the provisions hereinafter specified. Work under this Agreement shall commence upon written notice by the City to the Consultant to proceed. The Consultant shall perform all services and provide all work product required pursuant to this Agreement no later than December 31, 2013 unless an extension of such time is granted in writing by the City. 4. Payment. The Consultant shall be paid by the City for completed work and for services rendered under this Agreement as follows: A. Payment for the work provided by the Consultant shall be made as outlined in Exhibit "A" attached hereto, provided that the total amount of payment to the Consultant shall not exceed $65,000.00 without express written modification of the Agreement signed by the City. B. The Consultant may submit vouchers to the City once per month during the progress of the work for partial payment for that portion of the project completed to date. Such vouchers will be checked by the City and, upon approval thereof, payment shall be made to the Consultant in the amount approved. C. Final payment of any balance due the Consultant of the total contract price earned will be made promptly upon its ascertainment and verification by the City after the completion of the work under this Agreement and its acceptance by the City. D. Payment as provided in this section shall be full compensation for work performed, services rendered, and for all materials, supplies, equipment and incidentals necessary to complete the work. E. The Consultant's records and accounts pertaining to this Agreement are to be kept available for inspection by representatives of the City and the state of Washington for a period of three (3) years after final payments. Copies shall be made available upon request. 73 5. Ownership and Use of Documents. All documents, drawings, specifications and other materials produced by the Consultant in connection with the services rendered under this Agreement shall be the property of the City whether the project for which they are made is executed or not. The Consultant shall be permitted to retain copies, including reproducible copies, of drawings and specifications for information, reference and use in connection with the Consultant's endeavors. The Consultant shall not be responsible for any use of the said documents, drawings, specifications or other materials by the City on any project other than the project specified in this Agreement. 6. Compliance with Laws. The Consultant shall, in performing the services contemplated by this Agreement, faithfully observe and comply with all federal, state, and local laws, ordinances and regulations, applicable to the services rendered under this Agreement. 7. Indemnification. The Consultant shall defend, indemnify and hold the City, its officers, officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or suits including attorney fees, arising out of or resulting from the acts, errors or omissions of the Consultant in performance of this Agreement, except for injuries and damages caused by the sole negligence of the City. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Consultant and the City, its officers, officials, employees, and volunteers, the Consultant's liability, including the duty and cost to defend, hereunder shall be only to the extent of the Consultant's negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Consultant's waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 8. Insurance. The Consultant shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Consultant, its agents, representatives, or employees. Consultant's maintenance of insurance as required by the agreement shall not be construed to limit the liability of the Consultant to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. A. Minimum Amounts and Scope of Insurance. Consultant shall obtain insurance of the types and with the limits described below: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. Automobile Liability insurance shall cover all owned, non - owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. Berk & Associates Consultant Agreement Page 2 of 5 74 2. Commercial General Liability insurance with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors and personal injury and advertising injury. The City shall be named as an insured under the Consultant's Commercial General Liability insurance policy with respect to the work performed for the City. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. 4. Professional Liability with limits no less than $1,000,000 per claim and $1,000,000 policy aggregate limit. Professional Liability insurance shall be appropriate to the Consultant's profession. B. Other Insurance Provision. The Consultant's Automobile Liability and Commercial General Liability insurance policies are to contain, or be endorsed to contain that they shall be primary insurance with respect to the City. Any Insurance, self- insurance, or insurance pool coverage maintained by the City shall be excess of the Consultant's insurance and shall not be contributed or combined with it. C. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:VII. D. Verification of Coverage. Consultant shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Consultant before commencement of the work. Certificates of coverage and endorsements as required by this section shall be delivered to the City within fifteen (15) days of execution of this Agreement. E. Notice of Cancellation. The Consultant shall provide the City with written notice of any policy cancellation, within two business days of their receipt of such notice. F. Failure to Maintain Insurance. Failure on the part of the Consultant to maintain the insurance as required shall constitute a material breach of contract, upon which the City may, after giving five business days notice to the Consultant to correct the breach, immediately terminate the contract or, at its discretion, procure or renew such insurance and pay any and all premiums in connection therewith, with any sums so expended to be repaid to the City on demand, or at the sole discretion of the City, offset against funds due the Consultant from the City. 9. Independent Contractor. The Consultant and the City agree that the Consultant is an independent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither the Consultant nor any employee of the Consultant shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or for contributing to the state industrial insurance program, otherwise assuming the duties of an employer with respect to the Consultant, or any employee of the Consultant. Berk & Associates Consultant Agreement Page 3 of 5 75 10. Covenant Against Contingent Fees. The Consultant warrants that he has not employed or retained any company or person, other than a bonafide employee working solely for the Consultant, to solicit or secure this contract, and that he has not paid or agreed to pay any company or person, other than a bonafide employee working solely for the Consultant, any fee, commission, percentage, brokerage fee, gifts, or any other consideration contingent upon or resulting from the award or making of this contract. For breach or violation of this warrant, the City shall have the right to annul this contract without liability, or in its discretion to deduct from the contract price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift, or contingent fee. 11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this Agreement, will not discriminate on the grounds of race, color, national origin, religion, creed, age, sex or the presence of any physical or sensory handicap in the selection and retention of employees or procurement of materials or supplies. 12. Assignment. The Consultant shall not sublet or assign any of the services covered by this Agreement without the express written consent of the City. 13. Non - Waiver. Waiver by the City of any provision of this Agreement or any time limitation provided for in this Agreement shall not constitute a waiver of any other provision. 14. Termination. A. The City reserves the right to terminate this Agreement at any time by giving ten (10) days written notice to the Consultant. B. In the event of the death of a member, partner or officer of the Consultant, or any of its supervisory personnel assigned to the project, the surviving members of the Consultant hereby agree to complete the work under the terms of this Agreement, if requested to do so by the City. This section shall not be a bar to renegotiations of this Agreement between surviving members of the Consultant and the City, if the City so chooses. 15. Applicable Law; Venue; Attorney's Fees. This Agreement shall be subject to, and the Consultant shall at all times comply with, all applicable federal, state and local laws, regulations, and rules, including the provisions of the City of Tukwila Municipal Code and ordinances of the City of Tukwila. In the event any suit, arbitration, or other proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorney's fees and costs of suit. Venue for any action arising from or related to this Agreement shall be exclusively in King County Superior Court. 16. Severability and Survival. If any term, condition or provision of this Agreement is declared void or unenforceable or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement, which by their sense and context are reasonably intended to survive the completion, expiration or cancellation of this Agreement, shall survive termination of this Agreement. Berk & Associates Consultant Agreement Page 4 of 5 76 17. Notices. Notices to the City of Tukwila shall be sent to the following address: City Clerk City of Tukwila 6200 Southcenter Boulevard Tukwila WA 98188 Notices to Consultant shall be sent to the following address: Berk & Associates Attn: Brian Murphy 2025 First Avenue Suite 800 Seattle WA 98121 18. Entire Agreement; Modification. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Consultant and supersedes all prior negotiations, representations, or agreements written or oral. No amendment or modification of this Agreement shall be of any force or effect unless it is in writing and signed by the parties. DATED this I day of 6 fug v/ , 2013. CITY OF TUKWILA Attest/Authenticated: CONSULTANT By: Michael Hodgins Title: Principal Approved as to Form: Office of the City Attorney Berk & Associates Consultant Agreement Page 5 of 5 77 78 CITY OF TUKWILA STRATEGIC PLAN IMPLEMENTATION Proposed Scope of Work: 1/16/13 The City of Tukwila has recently adopted a city -wide Strategic Plan. This Plan was developed through extensive community and staff involvement, with a Steering Committee comprised of community representatives serving as the primary plan development body. The Plan establishes a Community Vision, a City of Tukwila Mission Statement, and five Goals and supporting Objectives. The Plan also establishes the City Performance and Accountability Model that establishes a framework for developing annual workplans aligned to the Strategic Plan. The City is now in its first year implementing the Strategic Plan. The City seeks assistance in tying City plans and actions to the Strategic Plan, and additional support to develop the tools, frameworks, and performance measures to guide and manage this ongoing process. Tools are needed to support the development of workplans and to track and publicallyraS communicate progress. The work to be accomplished in 2013 will establish the framework and tools for the City's annually recurring workplanning process per the City Performance and Accountability Model. CITY PERFORMANCE & ACCOUNTABILITY tdUBEL community a eirgabentort Over the course of a year, BERK will work closely with City leadership to develop the systems and tools necessary to align City efforts with the Strategic Plan, building linkages among the Strategic Plan, existing systems, and ongoing practices of the Tukwila organization. BERK will directly support the City in using these tools during this first year of implementation, improving them for ongoing use given lessons learned during the 2013 cycle. We propose a collaborative and responsive approach, and will work closely with City leadership to advance the effort in the most effective ways possible. Facilitated Worksessions with City Leadership. BERK will design and facilitate effective worksessions with the City's Leadership Team and possibly City Council. We will design the worksessions to engage City leaders in bridging from the Vision and ambitions of the Strategic Plan to action - oriented workplans that direct and evaluate City actions and investments. The discussions will begin at a City -wide level, considering phasing and prioritization of the full Strategic Plan over a 5 -year period. Once a conceptual phased approach to implementation is established, additional work will occur at the department and cross - department level to establish departmental and cross - functional workplans and performance measures. We will facilitate the Executive Team's work in 1 79 City of Tukwila — Strategic Plan Implementation Proposed Scope of Work 1/16/13 developing, evaluating, and approving these workplans. Once they are approved, plans will be communicated and progress evaluated in a transparent process. Organizational Capacity Development. As described in Goal Four of the Strategic Plan, it is important that the City of Tukwila develop the organizational culture and capacity to deliver on the promises of the Strategic Plan. BERK will assist in this process, coordinating with any additional resources the City brings to bear on this important topic. Communications Support. BERK will support the City in communicating workplans to both internal and external audiences, ensuring that City staff, residents, business owners, partners, and other interested parties have the ability to easily understand and track the City's process and progress. Anticipated Outcomes and Workproducts Through this process, we anticipate collaborating with the City to develop the following workproducts, which will be delivered to the City in a format and fashion supportive of the City owning, modifying, and using these tools for years to come. • Conceptual phasing of all elements of the Strategic Plan. • Annual departmental workplans that align with the City's Strategic Plan and budget. • Additional schematics and frameworks that illustrate alignment, clarify roles, and otherwise provide information about the relationships between people, processes, and products. • Performance measures to track and communicate process. • Communication strategies and collateral pieces for ongoing communication with City residents and other stakeholders, including web, email, social media, print media, and public meeting formats. BUDGET The budget for this effort is not to exceed $65,000, with BERK to invoice the City monthly on a time and materials basis. BERK project staff will bill at the following rates: • Brian Murphy: $180 /hour • Dawn Couch: $140 /hour • Associate Support: $115 /hour • Project Associate Support: $70 /hour 2 80 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA 98188 Agreement Number: CONTRACT FOR SERVICES Amendment #1 Between the City of Tukwila and Berk & Associates That portion of Contract No. 13 -042 between the City of Tukwila and Berk & Associates is amended as follows: Section 3. Duration of Agreement; Time for Performance. The term of this Agreement is extended to December 31, 2014, unless sooner terminated under the provisions specified in Contract 13 -042. The Consultant shall perform all services and provide all work product required pursuant to this Agreement no later than December 31, 2014 unless an extension of such time is granted in writing by the City. Section 4. Payment. The Consultant shall be paid by the City for completed work and for services rendered under this Agreement as follows: A. Payment for the work provided by the Consultant shall be made as outlined in Exhibit "A" attached to Contract 13 -042, provided that the total amount of payment to the Consultant shall not exceed $65,000 per calendar year without express written modification of the Agreement signed by the City. All other provisions of the contract shall remain in full force and effect. day of , 2013. Dated this CITY OF TUKWILA Jim Haggerton, Mayo CONTRACTOR Printed Name/Title: Michael Hodgins, Principal ATTEST /AUTHENTICATED APPROVED AS TO FORM City Clerk City Attorney 81 82 TO: City of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM Mayor Haggerton CITY COUNCIL FROM: David Cline, City Administrator DATE: November 6, 2013 SUBJECT: Alliance One Lease Agreement ISSUE The current lease agreement with Alliance One Management Receivables expires on December 31, 2013. BACKGROUND Alliance One is the company Tukwila Municipal Court contracts with to provide collection services for unpaid court fines and fees and also manages long-term payment plans for our customers not in collections. In May 2009, Alliance One began leasing space with the City of Tukwila. Per RCW 35A.11.010 and 35A.11.020 all lease agreements must go before City Council for authorization. DISCUSSION Per direction from the Council in August, 2013 Administration continued the lease agreement with Alliance One Management Receivables through December 31, 2013. We are proposing to extend the lease agreement through December 31, 2014, to coincide with the biennium budget cycle, as well as a 10% increase ($75/month) in the monthly rent as there has not been an increase since 2011. FINANCIAL IMPACT The 10% increase in rent for 2014 means Alliance One would pay the City of Tukwila $825.00 a month to lease space in the court area. RECOMMENDATION The Committee is being asked to move this item forward to the consent agenda of the December 2, 2013 City Council Meeting for approval and authorization for execution by the Mayor. ATTACHMENTS Copy of Contract 13-147, Draft of Proposed Amendment 83 84 City of Tukwila Agreement Number: 13 -147 Council Approval 8/5/13 6200 Southcenter Boulevard, Tukwila WA 98188 LEASE AGREEMENT THIS LEASE AGREEMENT, dated 5 5cp }GW ti'DON 2013 is made between the City of Tukwila ( "the City" or "Lessor ") and Alliance One Receivables Management, Inc. ( "Alliance" or "Lessee "). IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties hereto agree as follows: 1. Premises. Lessor does hereby agree to lease to Lessee, upon the following terms and conditions, one (1) front counter workspace at the Tukwila Municipal Court located at 6200 Southcenter Blvd., Tukwila, Washington ( "Premises "). 2. Term. This agreement shall be in full force and effect for a period commencing July 1, 2013 and ending December 31, 2013 unless sooner terminated under the provisions hereinafter specified. 3. Rent. Lessee covenants and agrees to pay Lessor, at Lessor's address, without deduction or offset, rent of Seven Hundred Fifty Dollars ($750.00) per month ( "Rental Payment "). The Rental Payment shall be submitted to Lessor on a monthly basis due by the 15th day of each month. Any and all ancillary costs associated with Lessee's use of the Premises shall be borne by Lessee. 4. Leasehold Excise Tax. Lessee shall pay any leasehold excise tax due pursuant to RCW 82.29A to Lessor by the 15`" of each month at the rate of 12.84% of rental amount. The Leasehold Excise tax shall be paid in addition to the monthly rental payment. If the State of Washington changes the leasehold excise tax and another jurisdiction also imposes this tax, the tax payable by the Lessee shall be correspondingly modified in compliance with RCW 82.29A. 5. Use of Premises by Lessee. Lessee shall have exclusive use of the Premises for payment collection and shall provide their own personnel to staff the Premises between 8 :30 a.m. and 4:30 p.m. Monday through Friday. Lessee's personnel at the Premises shall provide customer service at a level satisfactory to the Lessor. Lessor reserves the right to immediately terminate this lease agreement should the Lessee's customer service levels fail to meet the standards Set by Lessor. 6. Utilities, Equipment and Services. Lessee shall provide daily armored car service, Monday through Friday, to transport deposits from the Premises. Lessee shall provide any equipment necessary for the prescribed use of the Premises, included but not limited to computers, fax/copy machines and telephones. Lessee shall be responsible for setting up and maintaining their own telephone and interne connections. 7. Signage. Lessee shall provide, at their own expense, signage to be placed at the Premises; all signage shall be pre- approved by Lessor before being posted on the Premises. 8. Assignment and Subletting. Lessee shall not assign this lease or sublet any portion of the Premises. Any sublease or assignment made in violation of this provision shall be void. 9. Indemnification and Hold Harmless. Lessee shall indemnify, defend and hold harmless Lessor, its officers, agents and employees, from and against any and all claims, losses or liability, including attorneys' fees, arising from injury or death to persons or damage to property occasioned by any act, omission or failure of Lessee, its officers, agents and employees, in Alliance One Lease Agreement Page 1 of 3 85 City of Tukwila Agreement Number: 6200 Southcenter Boulevard, Tukwila WA 98188 performing the work required by this Agreement. With respect to the performance of this Agreement as to claims against Lessor, its officers, agents and employees, Lessee expressly waives its immunity under Title 51 of the Revised Code of Washington, the Industrial Insurance Act, for injuries to its employees, and agrees that the obligation to indemnify, defend and hold harmless provided for in this paragraph extends to any claim brought by or on behalf of any employee or Lessee. This waiver is mutually negotiated by the parties. This paragraph shall not apply to any damages resulting from the sole negligence of the Lessor, its agents or employees. To the extent that any of the damages referenced by this paragraph were caused by or resulted from the concurrent negligence of Lessor, its agents or employees, this obligation to indemnify, defend and hold harmless is valid and enforceable only to the extent of the negligence of Lessee, its officers, agents and employees. 10. Insurance. Lessee shall procure and maintain in full force throughout the duration of the Agreement Commercial General Liability insurance with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate and $2,000,000 products - completed operations aggregate limit. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products- completed operations, stop gap liability, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide the Aggregate Per Project Endorsement ISO form CG 25 03 11 85 or an equivalent endorsement. There shall be no endorsement or modification of the Commercial General Liability Insurance for liability arising from explosion, collapse or underground property damage. The City shall be named as an insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the. City using ISO Additional Insured endorsement CG 20 10 10 01 and Additional Insured - Completed Operations endorsement CG 20 37 10 01 or substitute endorsements providing equivalent coverage and shall include a provision prohibiting cancellation or reduction in the amount of said policy except upon thirty (30) days prior written notice to Lessor. Cancellation of the required insurance shall automatically result in termination of this Agreement. Certificates of coverage as required by Paragraph A above shall be delivered to Lessor within fifteen (15) days of execution of this Agreement. 11. Holding Over. Any holding over on the Premises after the termination of the term of this lease shall be construed to be a tenancy from month -to -month with the same valuable consideration for rent being provided on a pro rata basis per month. Such holding over shall otherwise be on all the terms and conditions of this Lease Agreement. 12. Notices. Notices to Lessor shall be sent to the following address: City of Tukwila Attention: City Clerk 6200 Southcenter Boulevard Tukwila WA 98188 Alliance One Lease Agreement Page 2 of 3 86 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA 98188 Agreement Number: Notices to Lessee shall be sent to the following address: Alliance One Receivables, Inc. Tricia Purcell, Client Service Manager 6565 Kimball Drive, Suite 200 PO Box 2449 Gig Harbor WA 98335 13. Effect of Invalidity. If any provision of this Lease Agreement or the application thereof to any person or circumstance shall to any extent be invalid, the remainder of this Lease. Agreement or the application of such provision to persons or circumstances other than those as to which it is held invalid shall not be affected thereby and each provision of this Lease Agreement shall be valid and enforced to the fullest extent permitted by law. 14. Entire Agreement — Amendments. This printed Lease Agreement together with all exhibits expressly incorporated herein by reference and attached hereto shall constitute the whole agreement between the parties. There are no terms, obligations, covenants or conditions other than those contained herein. Except as otherwise provided, no modification or amendment of this Lease Agreement shall be valid or effective unless evidenced by an agreement in writing signed by both parties. 15. Termination. Lessor or Lessee may terminate this lease at any time on or before the expiration of the lease term upon thirty (30) days prior written notice to the other. party. 16. Applicable Law — Venue: Attorney's Fees. This Agreement shall be . governed by and construed in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other proceeding s instituted to enforce any term of this Agreement, the parties specifically understand and agree that venue shall be properly laid in King County, Washington. The prevailing party in any such action shall be entitled to its attorneys' fees and costs of suit. DATED this day of %- f `" WLb-Pl CITY OF TUKWILA ATTEST /AUTHENTICATED Alliance One Lease Agreement , 2013 1 \MngL ' I ALLIANCE ONE RECEIVABLEI, IN7C. ager t\rri N APPROVED AS TO FORM J 1 City Attorney Page 3 of 3 87 88 City of Tukwila 6200 Southcenter Boulevard, Tukwila WA 98188 Agreement Number: CONTRACT FOR SERVICES Amendment #1 Between the City of Tukwila and Alliance One Receivables Management, Inc. That portion of Contract No. 13 -147 between the City of Tukwila and Alliance One Receivables Management, Inc. is amended as follows: Section 2: Term. This agreement shall be in full force and effect for a period commencing January 1, 2014 and ending December 31, 2014 unless sooner terminated under the provisions specified in Contract 13 -147. Section 3: Rent. Lessee covenants and agrees to pay Lessor, at Lessor's address, without deduction or offset, rent of Eight Hundred Twenty -Five Dollars ($825.00) per month ( "Rental Payment "). The Rental Payment shall be submitted to Lessor on a monthly basis due by the 15th day of each month. Any and all ancillary costs associated with Lessee's use of the Premises shall be borne by Lessee. All other provisions of the contract shall remain in full force and effect. Dated this day of , 2013. ALLIANCE ONE MANAGEMENT RECEIVABLES, INC. CITY OF TUKWILA Jim Haggerton, Mayor Harry Neerenberg, CFO ATTEST /AUTHENTICATED APPROVED AS TO FORM City Clerk City Attorney Alliance One Management Receivables Inc. Amendment #1 Page 1 of 1 89 90 City of Tukwila TO: Jim Haggerton, Mayor INFORMATIONAL U��U���������U� xu�mu v�*��n�um~�n u~�vu����� n�u��nmu��x����u�����n�n Mayor Haggerton Finance and Safety Committee FROM: Peggy McCarthy, Finance Director DATE: November 13, 2013 SUBJECT: Voucher Review and Approval by Council ISSUE Clarify Council responsibilities for voucher review and approval. BACKGROUND It has been the Council's practice to have one Council member, selected on a rotating basis, review and approve vouchers as a precursor to full Council approval before release of checks for payment. A question arose recently as to the Council's legal requirements in this regard. Pursuant to RCW Chapter 42.24 and the Washington State Auditor's office Budget Accounting and Reporting system (BARS) manual, 7l/8 the governing body's responsibility to ensure that the system Of auditing and certifying vouchers is operating in a manner to provide the greatest possible protection for the governing body members and the municipality". Additionally, the Council is obligated to indicate approval for payment of claim vouchers and have such approval entered into the minutes along with the voucher or check numbers and the total amount of the claims. An excerpt from the BARS manual and selected RCW's from Chapter 42.24 are attached to this memo. The City's financial management system has several procedural checks and balances in place to provide protection to the City and assure that, for all claims presented for payment and before a disbursement is actually made, • the materials have been furnished, • the services have been rendered, • the claim is a just, due and unpaid obligation of the City, and • the claim is assigned an account number(s) consistent with the City's chart of accounts and compliant with BARS. The procedural checks and balances include review and approval by the initiating department director, the Accounts Payable Fiscal Specialist, the Accounts Payable Fiscal Coordinator and the Finance Director. The vouchers and supporting documents are reviewed for connp|eteneaS, approvals, account coding and compliance with established policies and procedures and other relevant matters. DISCUSSION The level of review required by Council to fulfill their obligations and render voucher approval is a matter of judgment and depends largely on the degree of confidence placed in the financial management system and its controls. A comprehensive review of the City's procurement policy and procedures is planned for 2014; the voucher approval and certification process will be re-addressed then. RECOMMENDATION For information only. ATTACHMENTS BARS manual excerpt, Accounting - Expenditures - Voucher Certification and Approval RCW 42.24.080, RCW 42.24.090, RCW 42.24.115 92 ACCOUNTING Expenditures Voucher Certification and Approval' All claims against a municipality must be preaudited by the auditing officer of the municipality or his/her delegate. In addition, all claims must be certified by the auditing officer. This certification may be made on each individual claim voucher or, subject to the acceptance and approval of the municipal legislative body, a blanket voucher certification may be used so long as it indicates the particular vouchers so certified. The use of a blanket certification in no way relieves the auditing officer of his /her responsibility and liability for each individual voucher so certified. The certification is required regardless how the transaction is processed (i.e., through warrants, checks, EFTs, etc.). The certification must be signed and dated by the auditing officer or his /her delegate. For all claims, except expense reimbursement claims certified by officers or employees (see Employee Travel), the certification must include the following language: I, the undersigned, do hereby certi under penalty of perjury that the materials have been furnished, the services rendered or the labor performed as described herein, that any advance payment is due and payable pursuant to a contract or is available as an option for full or partial fulfillment of a contractual obligation, and that the claim is a just, due and unpaid obligation against the (city /county /district), and that I am authorized to authenticate and certify to said claim. The auditing officer's certification for employee /officer expense reimbursement claims must include the following language: I, the undersigned, do hereby certibr under penalty of perjury that the claim is a just, due and unpaid obligation against the (city/county/district), and that I am authorized to certifir to said claim. The certification by the auditing officer in no manner relieves members of the governing body from the responsibility and liability for each voucher approved. It is the governing body's responsibility to ensure that the system of auditing and certifying vouchers is operating in a manner to provide the greatest possible protection for the governing body members and the municipality. To indicate governing body approval for payment of claim vouchers and payroll, the following should be entered in the minutes: The following voucher /warrants are approved for payment: (Funds) Voucher (warrant) numbers: through $ Payroll warrant /transaction numbers: through $ ' Chapter 42.24 RCW Total 93 If the legislative body authorizes the procedure, cities, counties and districts may issue warrants before the legislative body approves claims. To do this the municipality must enact the following policies and procedures (required in Chapter 42.24 RCW): (1) The auditing officer and the officer designated to sign the checks or warrants must have an official bond. The amount should be determined by the legislative body but cannot be less than fifty thousand dollars (RCW 42.24.180); (2) The legislative body should adopt contracting, hiring, purchasing, and disbursing policies that implement effective internal control; (3) The legislative body must review and approve the claims paid at its next regularly scheduled public meeting, or for cities and towns, at a regularly scheduled public meeting within one month from issuance; and (4) If the legislative body disapproves some claims, the auditing officer and the officer designated to sign the checks or warrants must recognize these claims as receivables of the taxing district and pursue collection diligently until the amounts are either collected or the legislative body is satisfied and approves the claims. The legislative body may stipulate that certain kinds or amounts of claims should not be paid before the board has reviewed the supporting documentation and approved the issue of checks or warrants in payment of those claims. The original copy of all vouchers should be filed in the office of the auditing officer of the municipality. The detailed accounts to which the expenditures are to be posted must be clearly designated. Supporting documentation must be retained and either attached to the vouchers or canceled by the auditing officer to prevent reuse. See Original Supporting. Documentation for information regarding original supporting documentation. Districts that do not issue their own warrants should send either original vouchers or other supporting documentation (e.g., listing of approved vouchers, etc.) to the county auditor. 94 RCW 42.24.080: Municipal corporations and political subdivisions — Claims against for ... Page 1 of 1 RCW 42.24.080 Municipal corporations and political subdivisions — Claims against for contractual purposes — Auditing and payment — Forms — Authentication and certification. (1) All claims presented against any county, city, district or other municipal corporation or political subdivision by persons furnishing materials, rendering services or performing labor, or for any other contractual purpose, shall be audited, before payment, by an auditing officer elected or appointed pursuant to statute or, in the absence of statute, an appropriate charter provision, ordinance or resolution of the municipal corporation or political subdivision. Such claims shall be prepared for audit and payment on a form and in the manner prescribed by the state auditor. The form shall provide for the authentication and certification by such auditing officer that the materials have been furnished, the services rendered, the labor performed as described, or that any advance payment is due and payable pursuant to a contract or is available as an option for full or partial fulfillment of a contractual obligation, and that the claim is a just, due and unpaid obligation against the municipal corporation or political subdivision. No claim shall be paid without such authentication and certification. (2) Certification as to claims of officers and employees of a county, city, district or other municipal corporation or political subdivision, for services rendered, shall be made by the person charged with preparing and submitting vouchers for payment of services. He or she shall certify that the claim is just, true and unpaid, and that certification shall be part of the voucher. [2008 c 198 § 6; 1995 c 301 § 72; 1965 c 116 § 1.] Notes: Finding -- 2008 c 198: See note following RCW 39.34.030. http: // apps .leg.wa.gov /rcw /default.aspx ?cite= 42.24.080 11/13/2013 95 RCW 42.24.090: Municipal corporations and political subdivisions — Reimbursement cla... Page 1 of 1 RCW 42.24.090 Municipal corporations and political subdivisions — Reimbursement claims by officers and employees. No claim for reimbursement of any expenditures by officers or employees of any municipal corporation or political subdivision of the state for transportation, lodging, meals or any other purpose shall be allowed by any officer, employee or board charged with auditing accounts unless the same shall be presented in a detailed account: PROVIDED, That, unless otherwise authorized by law, the legislative body of any municipal corporation or political subdivision of the state may prescribe by ordinance or resolution the amounts to be paid officers or employees thereof as reimbursement for the use of their personal automobiles or other transportation equipment in connection with officially assigned duties and other travel for approved public purposes, or as reimbursement to such officers or employees in lieu of actual expenses incurred for lodging, meals or other purposes. The rates for such reimbursements may be computed on a mileage, hourly, per diem, monthly, or other basis as the respective legislative bodies shall determine to be proper in each instance: PROVIDED, That in lieu of such reimbursements, payments for the use of personal automobiles for official travel may be established if the legislative body determines that these payments would be less costly to the municipal corporation or political subdivision of the state than providing automobiles for official travel. All claims authorized under this section shall be duly certified by the officer or employee submitting such claims on forms and in the manner prescribed by the state auditor. [1995c301 §73; 1981 c56§ 1; 1965c 116 §2.] 96 http: // apps .leg.wa.gov /rcw /default.aspx ?cite= 42.24.090 11/13/2013 RCW 42.24.115: Municipal corporations and political subdivisions — Charge cards for of... Page 1 of 1 RCW 42.24.115 Municipal corporations and political subdivisions — Charge cards for officers' and employees' travel expenses. (1) Any municipal corporation or political subdivision may provide for the issuance of charge cards to officers and employees for the purpose of covering expenses incident to authorized travel. (2) If a charge card is issued for the purpose of covering expenses relating to authorized travel, upon billing or no later than thirty days of the billing date, the officer or employee using a charge card issued under this section shall submit a fully itemized travel expense voucher. Any charges against the charge card not properly identified on the travel expense voucher or not allowed following the audit required under RCW 42.24.080 shall be paid by the official or employee by check, United States currency, or salary deduction. (3) If, for any reason, disallowed charges are not repaid before the charge card billing is due and payable, the municipal corporation or political subdivision shall have a prior lien against and a right to withhold any and all funds payable or to become payable to the official or employee up to an amount of the disallowed charges and interest at the same rate as charged by the company which issued the charge card. Any official or employee who has been issued a charge card by a municipal corporation or political subdivision shall not use the card if any disallowed charges are outstanding and shall surrender the card upon demand of the auditing officer. The municipal corporation or political subdivision shall have unlimited authority to revoke use of any charge card issued under this section, and, upon such revocation order being delivered to the charge card company, shall not be liable for any costs. [1995 c 30 § 3; 1984 c 203 § 5.] Notes: Findings -- 1995 c 30: See note following RCW 43.09.2855. Severability -- 1984 c 203: See note following RCW 35.43.140. http: // apps. leg .wa.gov /rcw /default.aspx ?cite= 42.24.115 11/13/2013 97 98